Bloomberg Says Tourism ‘Lifeboat’ for Greek Economy

Photo credit: Aggeliki Koronaiou

With talks between Greece and its international lenders at a deadlock and Germany hinting at a “Grexit”, Bloomberg is pointing to tourism as the only way to save a drowning economy and keep Greece above water.

In its feature story last week, the business and financial news agency says tourism is the only sector that can serve as a “lifeboat” to the Greek economy, contributing more than 17 percent. The news agency cites government forecasts of some 3 million visitors expected to visit the country and tourism receipts seen at reaching the highest level since 2000.

Can tourism pull Greece out of the waters in the next three months? Bloomberg thinks so. The friendlier euro exchange rate is bound to attract more travelers with accommodation almost 17 percent cheaper than last year. Cash-strapped Europeans will opt for cheaper holidays. Average spending has dropped 32 percent to 604 euros from 882 euros in the last decade. And finally, Greek tourism is set to benefit from a new market: Asian travelers.

On the downside, the refugee crisis with asylum seekers flocking to the Greek islands, Lesvos in particular, if not handled with, care is bound to have a negative impact.