Even with bookings flooding in, Dimitris Diavatis’ expectations that his Greek summer resort would be able to return to pre-pandemic health this year were dashed by a single electrical bill.
It was more than double what he had spent at this time last year, when the hotel was not yet open. The irony was not lost on him after two slow summers: “We won’t make a profit in a good year,” he added. “Inflation will eat it up.”
After two essentially lost years, Greece, like the other tourism-dependent nations on the eurozone’s Mediterranean border, is seeing signs of a much-needed resurgence in visitor numbers in 2022. The sector, like in Spain, Portugal, and Italy, employs a large number of people and contributes significantly to governmental income.
However, the epidemic has altered the face of tourism throughout the region. Hotels were already dealing with increasing fuel expenditures and inflation, which a further increase in energy prices as a result of Russia’s invasion of Ukraine will further exacerbate.