Moody’s: Spring or Autumn the New Trend for Tourists Visiting Greece

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Travelers to Greece may soon be choosing to travel off season instead of summer in order to avoid high temperatures and risk of fire, according to a study conducted by rating agency Moody’s.

Study analysts are citing high temperatures brought about by climate change as the reason tourists visiting Greece and Southern Europe will be opting to go on vacation in the fall or spring.

Moody’s report comes after Greece suffered massive forest fires for the most part of summer this year and on the back of a new study released by the European Commission. The Commission’s report found that 52 European regions, including Greece, are projected in the next two decades to lose tourist flows compared to base year 2019 due to climate change.

Extending the tourism season beyond the traditional summer months has been a top priority for the Greek Tourism Ministry and sector stakeholders over the last few years.

The rating’s agency goes on to add that Southern Europe and Greece will continue to be popular summer destinations at least in the short term and until demand grows for Northern European destinations.

One of the longer-term negative effects of the forest fires in Greece is the devaluation of property which may impact financing opportunities for owners, said the report.

At the same time, Moody’s sees an increase in costs due to extreme weather conditions. This was the case when tour operators and hoteliers were forced to evacuate, relocate or repatriate travelers during the Rhodes fires in July. Indicatively, German leisure travel giant TUI spent 25 million euros on cancellations, reimbursement and repatriation flights.

Analysts also expect higher energy costs as hotter temperatures will push the demand for air conditioned spaces. In the meantime, unexpected extreme weather can also impact pre-bookings and travel due to safety concerns. The impact will be greater, analysts say, for smaller enterprises.

Looking ahead, Moody’s analysts underline the importance of governments implementing preventative plans and precautionary measures to address the potential risks of warmer summers and fire.