Record Number of Slovaks Traveled Abroad for Leisure in 2025 as Domestic Tourism Remained Stable

Slovak residents made a record number of leisure trips abroad in 2025, while overall travel activity recorded only modest growth and remained below pre-pandemic levels, according to the latest survey released by the Statistical Office of the Slovak Republic.

Residents undertook 12.2 million trips involving at least one overnight stay for personal or business purposes during the year, representing a 0.3% increase compared with 2024. Despite the annual growth, the total remained 12.2% lower than in 2019, the last full year before the COVID-19 pandemic significantly disrupted international travel.

Personal travel continued to dominate tourism activity. Slovaks made 11.5 million private trips, accounting for approximately 94% of all journeys. These trips generated around 50 million overnight stays, slightly fewer than in the previous year. Business travel moved in the opposite direction, declining to 735,000 trips, while overnight stays linked to business travel fell by 37.4% year-on-year to 1.91 million nights.

Domestic tourism remained broadly unchanged

Domestic travel continued to account for the majority of personal trips, with Slovak residents making almost 6.9 million leisure journeys within the country during 2025. This represented only a marginal 0.3% decrease compared with the previous year, although the figure remained more than 10% below the level recorded in 2019.

Short breaks lasting between one and three nights remained the preferred choice, accounting for roughly three-quarters of all domestic holidays. Their number increased by 2.2% compared with 2024. In contrast, longer domestic stays of four nights or more declined by 7% year-on-year.

Demand for paid accommodation—including hotels, guesthouses and private rentals—continued to increase, rising 5% compared with the previous year and slightly exceeding pre-pandemic levels. The Statistical Office noted that the growing popularity of privately rented accommodation was a key contributor to this trend. Meanwhile, trips involving non-commercial accommodation, including visits to relatives and friends or stays in privately owned holiday homes, declined by 7.5%.

Leisure and recreation remained the main purpose of domestic travel, with holiday-related trips exceeding four million for the first time in six years. Visiting relatives and friends remained the second most common reason for travelling within Slovakia.

Private cars continued to dominate domestic transport, accounting for approximately 80% of all trips. Bus travel recorded the strongest annual increase, while rail transport also gained passengers. The Poprad district, including the High Tatras, remained Slovakia’s most visited domestic destination.

Overseas leisure travel reaches a new high

International leisure travel reached its highest level on record in 2025. Slovak residents made 4.6 million personal trips abroad, exceeding the previous peak recorded in 2019 by 5.1%.

Longer holidays remained the preferred choice, with trips lasting four nights or more accounting for more than two-thirds of all outbound travel. Around one in five international trips lasted longer than eight nights.

The strongest increase in overseas travel was recorded among people aged 25 to 44, whose total number of trips reached the highest level in the past seven years. In contrast, residents aged 65 and over travelled abroad considerably less frequently, with trips by seniors declining by 33% compared with 2024.

Cars remained the most frequently used mode of transport for international journeys, accounting for nearly 2.2 million trips. Air travel also continued to expand, reaching 1.7 million trips, approximately one-quarter higher than in the pre-pandemic year of 2019.

Czech Republic remained the leading destination

The Czech Republic remained the most visited foreign destination for Slovak travellers, attracting 972,000 overnight trips, representing more than one-fifth of all outbound leisure travel. Although visitor numbers increased slightly, the total number of nights spent there declined compared with the previous year.

Croatia retained second place and continued to record the highest number of overnight stays among Slovak visitors, reflecting its popularity for longer seaside holidays.

Other frequently visited destinations included Hungary, Italy and Poland, while Austria overtook Turkey in visitor numbers during 2025.

City breaks remained the most popular type of international holiday, accounting for 2.3 million trips, followed by seaside holidays with 1.8 million trips. Mountain destinations recorded the strongest annual growth, increasing by around 20% compared with 2024 and standing approximately 50% above pre-pandemic levels.

Travel costs remained well above pre-pandemic levels

Average spending on leisure travel eased slightly compared with 2024 but remained substantially higher than before the pandemic.

Average expenditure reached €219 per domestic trip and €690 per outbound trip, representing a marginal decline of around 1% for both categories.

Spending patterns differed according to trip length. Average expenditure increased by 10% for short domestic breaks lasting one to three nights, while spending on longer domestic holidays fell by a similar proportion. For international travel, average spending on short trips declined, whereas expenditure on holidays lasting four nights or longer increased slightly.

Compared with 2019, Slovak residents spent almost 50% more on personal travel, reflecting higher prices for accommodation, transport and tourism services.

The latest survey suggests that while domestic tourism remained broadly stable during 2025, demand for international leisure travel continued to strengthen, supported by growing use of air transport and sustained interest in city breaks, coastal holidays and mountain destinations.

Acoustic Design Helps Serbia’s Fruške Terme Resort Balance Scale with Guest Comfort

Large hotels and spa resorts often face a common challenge: accommodating hundreds of guests without creating an environment dominated by noise. At Fruške Terme Resort & Residences in Serbia, acoustic design has been integrated into the architecture to improve guest comfort while supporting the operation of one of the country’s largest wellness destinations.

Located in the Fruška Gora National Park in northern Serbia, the resort is among the country’s first luxury thermal spa developments. Since one of its hotel buildings joined the Mövenpick brand in 2023, the complex has attracted a growing number of international visitors alongside domestic tourism.

Developed by Serbian investor Promont Group, the resort combines hotel accommodation with holiday residences and an extensive wellness offering. The property features 11 thermal pools, including five indoor and six outdoor pools, together with 12 saunas and steam rooms, making the water and spa facilities larger than the hotel building itself.

Managing acoustics across such a large complex became an important design consideration. Public areas including swimming pools, restaurants, spa facilities and office spaces generate continuous background noise that can affect the overall guest experience if not addressed during the design stage.

To reduce reverberation, architects from DBA – Đorđe Bajilo Architects incorporated acoustic ceiling systems throughout the development. Different ceiling solutions were selected according to the function of each space. Suspended acoustic ceiling islands were installed above indoor pools, while full acoustic ceilings were used in family pool areas where activity levels and noise are typically higher.

Relaxation zones were designed with more subdued colours and ceiling materials intended to create a quieter atmosphere. In addition to improving sound absorption, the ceiling finishes help reduce light reflection, contributing to a calmer environment for guests using wellness facilities.

The restaurant presented one of the project’s most demanding acoustic challenges. During breakfast and other peak service periods, large numbers of guests occupy the space simultaneously, increasing overall noise levels. To address this, perforated metal ceiling panels were installed to absorb sound while maintaining a clean architectural appearance. The micro-perforations help reduce echo and limit the build-up of background noise created by multiple conversations.

Similar ceiling systems were also installed in changing rooms, where hairdryers and other equipment contribute to higher sound levels. In these humid environments, corrosion-resistant materials were selected to ensure long-term durability.

Beyond guest comfort, the resort has also focused on sustainability. The development incorporates renewable energy sources, including geothermal resources and solar energy, alongside materials designed for long service life and low maintenance.

The project has received several international recognitions, including awards from the World Luxury Hotel Awards in 2023 and 2024, as well as the ESPA Innovation Award presented by the European Spa Association.

The Fruške Terme project demonstrates how acoustic planning can become an integral part of hospitality design. Rather than treating sound control as a technical afterthought, the development shows how it can contribute to the overall guest experience in large-scale hotels where relaxation remains the primary objective.

Accolade Industrial Fund Expands European Logistics Portfolio to €2.3 Billion

The Accolade Industrial Fund continued to expand its European logistics real estate portfolio during the first quarter of 2026, with assets under management reaching €2.3 billion and a total leasable area of 2.3 million sqm, according to the fund’s latest factsheet.

As of 31 March 2026, the fund owned interests in 42 industrial parks across six European countries, serving more than 100 tenants and supported by over 3,500 investors. The portfolio includes logistics and industrial properties in the Czech Republic, Poland, Germany, Slovakia, the Netherlands and Spain. The latest portfolio update also highlights a new acquisition and an expansion project within the fund’s existing network.

The portfolio remained highly occupied, reporting an occupancy rate of 95.9%, while the weighted average unexpired lease term (WAULT) stood at 6.4 years, reflecting a relatively long income profile from existing leases. The fund’s loan-to-value ratio was reported at 52.9%.

Retail and e-commerce companies represented the largest tenant group, accounting for 39% of leased space. Logistics operators occupied 25%, followed by engineering and manufacturing businesses at 19%. Automotive companies represented 11%, electronics firms 5%, while services and other industries accounted for the remaining 1% of occupied space.

The fund’s tenant base includes companies operating across e-commerce, logistics, retail, manufacturing and industrial sectors, reflecting the diversified nature of its occupier mix.

According to the performance data, the institutional EUR share class generated a 6.53% return over the twelve months to 31 March 2026, while the comparable CZK share class recorded a 5.70% return during the same period. Over the five-year period ending in the first quarter of 2026, the average annual performance reached 10.27% for the EUR share class and 9.75% for the CZK share class. The factsheet also notes that past performance should not be regarded as an indicator of future returns.

The fund focuses primarily on income-producing Class A industrial and logistics properties across Central and Western Europe. Its investment strategy targets warehouse and manufacturing facilities, with independent property valuations carried out in accordance with the Royal Institution of Chartered Surveyors (RICS) valuation standards.

Commenting on the fund’s strategy, Milan Kratina, CEO of Accolade, said that successful investing requires consistency and patience rather than reacting to short-term market fluctuations. “Diversification, a long-term perspective and trust are the foundations on which we continue to build our investment strategy,” Kratina said, adding that industrial real estate has demonstrated its ability to generate stable returns through multiple economic cycles while benefiting from structural trends such as e-commerce growth, supply chain transformation and nearshoring.

The Accolade Industrial Fund is structured as a Malta-domiciled alternative investment fund and offers investment share classes denominated in CZK, EUR, USD and PLN. According to the fund documentation, subscriptions are available at least twice each year and are subject to a five-year lock-up period for investors.

SHD Real Estate Plans 179-Unit Residential Development at Lipno Reservoir

SHD Real Estate has announced plans to develop Lipno Vista, a residential project on the shores of the Lipno Reservoir in the South Bohemian region of the Czech Republic. Construction is expected to begin during the second half of 2026, with the first homes scheduled for completion in 2029.

The development will comprise 179 apartments across seven residential buildings, providing more than 16,000 sqm of residential space. The scheme will offer one- to four-room apartments, with each unit including underground parking and private storage.

The project has been designed by architectural studio A8000 in collaboration with SHD Real Estate. According to the developer, the buildings have been planned to follow the site’s sloping terrain, with the aim of preserving views across the lake while integrating the development into its natural surroundings.

A landscaped communal garden will form the centre of the development, while construction materials will primarily include wood, stone and metal, reflecting the character of the surrounding Šumava region.

Vehicle traffic will be largely confined below ground through underground parking facilities, allowing the surface areas to be dedicated to pedestrian movement and green space.

Lipno Vista is located close to the marina and lakefront, providing access to a range of outdoor recreational activities throughout the year, including sailing, paddleboarding, cycling, hiking and fishing. During winter, residents will also have access to nearby ski facilities, the ice-skating route on the frozen reservoir and the Hochficht ski resort in neighbouring Austria.

The development will also include resident amenities intended to support both everyday living and remote working.

Roger Dunlop, CEO of SHD Real Estate, said the project was designed to make use of the site’s lakeside location while offering a residential environment that combines housing with access to nature and outdoor activities.

The company said the project forms part of its broader strategy of developing residential schemes that emphasise environmental integration and long-term sustainability.

Europe’s Office Market Looks Beyond AI as Economic Fundamentals Continue to Shape Demand

Artificial intelligence is transforming business operations across Europe, yet its influence on office demand appears far less dramatic than many forecasts have suggested. Recent market analysis indicates that while AI is altering workplace organisation and employee roles, it has not become the dominant force behind office leasing decisions. Instead, economic expansion, business confidence and access to skilled labour remain the strongest drivers of occupier activity.

Research points to continued growth in office-based employment across Europe over the coming decade, providing ongoing support for demand despite the widespread adoption of new digital technologies. Analysts argue that concerns surrounding AI replacing large numbers of office workers have so far not materialised on a scale capable of fundamentally reshaping the market.

Comparisons between European countries also reveal that advanced AI adoption does not automatically translate into weaker office employment. Several highly digitalised economies have experienced slower employment growth primarily because they already operate with mature labour markets and limited workforce availability rather than because technology has displaced employees.

Economic performance continues to show a much closer relationship with office employment than technological adoption. Stronger business investment, expanding corporate activity and improving economic conditions have historically encouraged companies to increase hiring, supporting demand for office accommodation across major European markets.

Recent surveys further suggest that businesses investing in artificial intelligence are often expanding rather than reducing their workforces. Organisations implementing AI solutions frequently recruit additional specialists to deploy new technologies, improve productivity and develop new business opportunities. This indicates that AI is currently acting more as a tool for business growth than as a widespread replacement for office employees.

At the same time, the European office market continues to experience a gradual return to more balanced labour conditions following the exceptionally strong hiring period seen after the pandemic. While recruitment has become more measured, many professional services firms remain active occupiers, particularly in major business centres where demand for high-quality office space remains resilient.

Industry specialists increasingly believe that artificial intelligence will reshape the function of offices rather than eliminate their importance. Collaboration, innovation, training, company culture and client interaction continue to require physical workplaces, especially for organisations seeking to attract and retain highly skilled employees.

The greatest changes are expected to occur in how office buildings compete rather than whether they are needed. Flexible layouts, sustainability credentials, digital infrastructure and employee wellbeing have become increasingly important considerations for occupiers evaluating relocation or expansion decisions.

Demographic trends also continue to support the long-term office market. Europe’s shrinking working-age population and historically low unemployment rates have created ongoing competition for skilled talent, making workplace quality an increasingly valuable recruitment and retention tool for employers.

Rather than signalling a decline in office demand, artificial intelligence appears more likely to accelerate the division between modern, adaptable buildings and older assets that struggle to meet evolving occupier expectations. Prime offices offering flexibility, energy efficiency and strong workplace experiences are expected to remain highly sought after, while less competitive buildings may face growing pressure to reposition or undergo redevelopment.

For Europe’s office sector, the evidence increasingly suggests that technology is becoming another catalyst for market evolution rather than a force replacing the workplace itself. Economic growth, business expansion and the ability to provide attractive working environments continue to exert the strongest influence on long-term office demand.

Source: CIJ EUROPE Analysis Team

Rohde & Schwarz Topex Expands Bucharest Presence with 10,000 sqm Lease at myhive IRIDE | nineteen

Rohde & Schwarz Topex has renewed and expanded its office lease at myhive IRIDE | nineteen in Bucharest, increasing its footprint to a total of 10,000 sqm in a transaction brokered by Crosspoint Real Estate, International Associate of Savills in Romania.

The company extended its existing lease for 8,000 sqm while taking an additional 2,000 sqm within the office building owned by CPI Romania. The expansion brings together the company’s offices, research and development activities, and production operations under a single location.

Part of the German technology group Rohde & Schwarz since 2010, Rohde & Schwarz Topex develops voice communication systems for mission-critical applications, including air traffic management and other sectors where operational reliability is essential. The company operates both a research and development centre and a production and systems integration facility in Bucharest.

According to Crosspoint, the transaction represents the largest office space managed by its Office Agency team for a single client.

The agreement comes as Bucharest’s office market continues to be characterised by limited new supply and improving occupier demand. Crosspoint data shows that gross leasing activity reached 46,521 sqm during the first quarter of 2026, broadly matching the level recorded a year earlier. Net take-up increased by 25% year-on-year to 37,070 sqm, indicating stronger demand driven by relocations and business expansions.

Vacancy across the city declined to 10.3% during the quarter, while prime office rents remained stable at €22 per sqm per month. The Energy & Industrial sector accounted for the largest share of leasing activity, followed by IT and financial services. The Central Business District, Centre-West and Dimitrie Pompeiu were the most active office locations.

The additional 2,000 sqm leased by Rohde & Schwarz Topex represents new demand, while the renewal of the existing space secures the company’s long-term presence in the building. The transaction reflects a broader market trend in which landlords are increasingly focused on retaining existing occupiers while accommodating future expansion requirements.

Located in northern Bucharest next to Pipera metro station, myhive IRIDE | nineteen offers nearly 18,000 sqm of Class A office space. The building holds a BREEAM Excellent sustainability certification and forms part of the larger IRIDE Park business campus, providing tenants with access to a range of retail, dining, medical and wellness facilities, as well as convenient connections to Henri Coandă International Airport.

Why Tokyo’s New Skyline Is Built to Move During Earthquakes

fletcher@cijeurope.com
25 June 2026
CIJ - Spotlight, Construction, Indicators

A powerful earthquake that struck off Japan’s northeastern coast on 25 June once again demonstrated why earthquake resilience remains at the centre of the country’s urban development strategy. While the magnitude 7.2 offshore tremor caused transport disruptions and prompted safety inspections, there were no immediate reports of significant structural damage or a tsunami, highlighting the effectiveness of decades of investment in resilient buildings and infrastructure.

For Japan’s construction industry, earthquakes are not exceptional events but an essential design consideration. Rather than attempting to prevent buildings from moving altogether, engineers increasingly design them to move in a controlled manner, allowing structures to absorb seismic energy while protecting occupants and limiting damage.

This approach has become a defining feature of Tokyo’s latest redevelopment projects. Across districts including Yaesu, Toranomon, Azabudai, Shinagawa and Nihonbashi, new mixed-use developments combine offices, hotels, retail, residential space and public amenities with advanced seismic engineering. These projects are intended not only to withstand major earthquakes but also to remain operational afterwards, supporting business continuity in one of the world’s busiest metropolitan areas.

Modern high-rise buildings achieve this resilience through a combination of technologies. Many are constructed on specialised foundation systems that reduce the transmission of ground movement into the structure. Others incorporate energy-dissipating devices that function similarly to shock absorbers, reducing vibrations during prolonged shaking. Some towers also include large counterweight systems installed near the upper floors that move independently from the building itself, helping to minimise swaying caused by earthquakes or strong winds.

The result is a counterintuitive experience for occupants. During a significant earthquake, a modern tower may gently sway from side to side rather than remain rigid. While this movement can feel unusual, it is an intentional engineering solution designed to reduce stress on the building’s structural frame.

Tokyo’s redevelopment boom has accelerated the adoption of these technologies. Many of the city’s newest commercial projects include additional resilience measures such as emergency power generation, water storage, reinforced communications infrastructure and facilities that allow businesses to continue operating even after a major seismic event.

One of the best-known examples is Tokyo Skytree, where engineers developed a structural system that allows the central core and the outer steel framework to move independently during earthquakes. By controlling how these elements interact, the tower significantly reduces vibration while maintaining structural stability. The concept draws inspiration from traditional Japanese pagodas, whose central timber columns have helped them survive earthquakes for centuries.

Japan’s building regulations have also evolved continuously following major earthquakes over the past several decades. Each significant event has led to stricter engineering standards and wider adoption of new technologies, particularly for high-rise developments and critical infrastructure. Today’s building codes place strong emphasis not only on preventing collapse but also on ensuring that buildings remain safe and functional after seismic events.

The latest earthquake serves as another reminder that resilient construction is no longer simply about protecting individual buildings. In Japan, it has become a key element of long-term urban planning, influencing everything from commercial redevelopment and infrastructure investment to public safety and economic resilience.

As cities worldwide face increasing exposure to natural hazards, Japan’s experience demonstrates how engineering innovation and sustained investment can transform earthquake risk into an opportunity to build more resilient urban environments.

Trade Sanctions Have Greater Impact When Countries Have Few Alternatives, Study Finds

The economic impact of trade sanctions depends not only on their scale but also on how easily the targeted country can replace lost trading relationships, according to new research by the German Institute for Economic Research (DIW Berlin).

The study analysed 748 cases of trade sanctions imposed between 1962 and 2020, examining how different forms of trade restrictions affect economic performance. Its findings suggest that measures targeting imports from sanctioned countries can, in many cases, have a stronger economic effect than restrictions on exports to those countries, particularly when the affected economy relies heavily on a limited number of trading partners or commodity exports.

Researchers estimate that when trade restrictions affect flows equivalent to around 1% of a country’s gross domestic product, economic output per person may decline by between 0.5 and 1.6 percentage points during the first three years after sanctions are introduced. The actual impact varies depending on the structure of the targeted economy and its ability to adapt.

According to the analysis, restrictions on imports often affect sectors such as energy, agriculture and industrial goods, reducing export revenues for the targeted country. Export controls, meanwhile, are frequently designed to limit access to advanced technologies, machinery and specialised industrial products that are important for manufacturing and long-term economic development.

A country’s trade structure plays a decisive role in determining how disruptive sanctions become. Economies with diversified export markets and multiple trading partners are generally better positioned to redirect trade and reduce the impact of restrictions. By contrast, countries that depend heavily on a small number of export markets or on raw materials sold to a limited group of buyers face greater challenges when sanctions interrupt established trade flows.

The research also highlights the importance of trade diversion. If businesses can quickly establish alternative supply chains or find new customers abroad, the overall economic damage may be considerably reduced. Where such alternatives are limited, however, sanctions are more likely to affect production, investment and overall economic growth.

The findings align with broader international research indicating that the effectiveness of trade sanctions depends less on the restrictions themselves than on the economic resilience of the country being targeted. Factors such as export diversification, domestic industrial capacity and access to alternative suppliers all influence how quickly an economy can adjust.

The study concludes that while trade sanctions remain an important foreign policy instrument, their economic consequences are far from uniform. Their success depends on the characteristics of the targeted economy, the products involved and the extent to which existing trade relationships can be replaced.

Source: DIW Berlin

CA Immo Sells Capital Square Office Building in Budapest to WING

CA Immo has completed the sale of the Capital Square office building in Budapest to WING as part of its strategy to reduce its exposure to the Hungarian market.

Located in Budapest’s Váci Corridor office district, Capital Square offers approximately 34,000 sqm of gross leasable office space and around 600 parking spaces. The multi-tenant property was completed in 2009 and, as of February 2026, was around 85% occupied. The building had a weighted average unexpired lease term (WAULT) of 4.1 years and generated annualised gross rental income of approximately €5.7 million.

The transaction forms part of CA Immo’s capital rotation programme, which began after the company identified Hungary as a non-core market in 2023. According to the company, proceeds from the sale may be used for general corporate purposes, investment in its core property portfolio, debt reduction, share buybacks or future investment opportunities.

CA Immo said the sale reflects its ongoing portfolio optimisation strategy, while continuing to focus on office assets in its core markets.

Following the transaction, the company’s Hungarian portfolio comprises four office buildings in Budapest with a combined lettable area of approximately 72,000 sqm and a book value of around €140 million, based on figures as of 31 March 2026. The remaining assets include three buildings within the Millennium office complex and the City Gate office building. All properties hold either BREEAM Very Good or LEED Gold sustainability certification.

CERHA HEMPEL Rechtsanwälte and CBRE advised CA Immo on the transaction.

Rising Costs Test Europe’s Tourism Industry as Summer Travel Holds Firm

fletcher@cijeurope.com
25 June 2026
Business, Hospitality, Indicators, Transportation

Europe’s tourism sector is entering the peak holiday season with healthy demand, but businesses across the continent are facing growing financial pressure as higher fuel prices, geopolitical instability and rising operating expenses reshape the industry’s outlook.

While travellers continue to book holidays in large numbers, the economic environment for airlines, airports, tour operators and hospitality businesses has become increasingly challenging. The latest rise in oil and jet fuel prices following tensions in the Middle East has added another layer of uncertainty for an industry that had been enjoying a strong post-pandemic recovery.

Airlines remain at the centre of the pressure. Fuel represents one of their largest operating expenses, and recent price increases have significantly reduced profit margins. Although some carriers have adjusted fares and introduced fuel surcharges, intense competition across the European market has limited their ability to pass the full increase on to passengers. Industry analysts expect profitability to remain under pressure throughout the busy summer season despite strong passenger numbers.

The effects are being felt throughout the tourism economy. Tour operators are reviewing flight programmes and holiday packages, airports are monitoring airline capacity decisions, while hotels and travel providers continue to face higher utility bills, labour costs and supplier prices. Smaller businesses are considered particularly exposed because they often have less financial flexibility to absorb unexpected increases in operating expenses.

Despite these challenges, demand for travel across Europe remains resilient. Rather than cancelling holidays, many consumers are changing how they travel. Shorter trips, destinations closer to home and last-minute bookings have become increasingly common as travellers look for better value while maintaining their holiday plans.

Southern European destinations continue to benefit from this trend. Spain and Italy are reporting robust visitor demand, although both countries are also experiencing rising transport and tourism-related costs linked to higher energy prices. Tourism remains one of the most important contributors to their economies, making the sector particularly sensitive to increases in aviation and transport expenses.

France is facing similar conditions. Although visitor demand remains solid, airlines, airports and hospitality operators are dealing with higher fuel costs and inflationary pressures that have increased operating expenses throughout the travel supply chain. Businesses are placing greater emphasis on cost management while maintaining service quality during one of the busiest periods of the year.

Germany faces many of the same challenges but also continues to debate measures aimed at improving the competitiveness of its aviation sector. Industry organisations have argued that reducing aviation-related taxes and airport charges would help German airports compete more effectively with neighbouring countries. However, analysts note that any policy changes would provide only partial relief while fuel prices and broader operating costs remain elevated.

The Netherlands and Belgium are also feeling the effects of higher aviation costs. As major European aviation hubs, both countries have experienced increased pressure on airlines operating through their airports, with carriers carefully reviewing capacity, network planning and fleet deployment as fuel expenses continue to fluctuate.

Across Europe, the industry’s concerns extend beyond fuel prices alone. Aircraft delivery delays, supply chain disruptions affecting maintenance, higher insurance premiums, labour shortages and persistent geopolitical uncertainty have all contributed to a more complex operating environment. These factors are making investment decisions more cautious and increasing financial risks across the tourism value chain.

European institutions have acknowledged the challenges facing aviation while noting that tourism demand has so far remained resilient. Rather than abandoning travel plans, consumers are adapting by choosing destinations perceived as more affordable and accessible, helping many European markets maintain strong visitor numbers despite higher travel costs.

As the summer season progresses, the sector’s performance will depend less on attracting travellers and more on managing costs effectively. Companies capable of balancing strong demand with tighter financial discipline are expected to be best positioned as Europe’s tourism industry navigates an increasingly volatile global environment.