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This is a region that has been experiencing competitiveness problems for many years, but not across the board.
As an indication, in 2006 we had the first closure of a tourist unit, in 2007 the second and in 2008 the third, until the number of units that closed gradually rose to eight.
I must make it clear that there is no competitiveness problem in the coastal zone, although there is one closed unit. I would say that the level of competitiveness is very high in the coastal zone and a further increase is expected in the coming years.
Unfortunately, this has also led to a downward trend in the neighbouring leisure centres, whose success was almost entirely dependent on the occupancy rate.
As the Deputy Ministry of Tourism, we have been involved in this issue and we are well aware of both the problems of the area in question and the demands of entrepreneurs.
As an indication, in recent months we have announced two incentive schemes, a grant scheme aimed at hotel businesses wishing to specialise in the health and wellness sector. As a result, they are given the opportunity to upgrade. In fact, a special presentation on this project was made in Paralimni in order to explain it to the entrepreneurs concerned, especially to those in the region.
At the same time, we announced a grant scheme for leisure centres and shops selling traditional products. It is worth mentioning that the scheme is horizontal, i.e. it is aimed at all leisure centres, irrespective of their specialisation. The reason why the scheme is horizontal is because we recognise that a large number of leisure centres have been affected by the prolonged crises that have hit tourism in recent years.
Consequently, we have provided financial support solutions for both hotel businesses and leisure centres, as well as for shops selling traditional products.
In addition to the above, we have brought back on the agenda the earlier interest of a university institution to create a training centre in the area, and at the same time I visited the site with the Minister of Transport in order to examine the possibility of redesigning the road that crosses the core of the area, even though this road has been completed very recently.
In relation to the references to the fact that events are not being held in the Pernera area, I must make it clear that the Secretary of State for Tourism does not organise events or give direction as to which areas should be introduced. Certainly organising some events would help the area and, as I know, the local authority is also positive.
It is important to remember that tourism operates in a very competitive context and that in addition to the responsibility of the state there is also the responsibility of the business side.
A facility that has not been renovated for a large number of years is not normally high on the list of choices for prospective visitors or tour operators. In this case the state certainly cannot intervene.
Our responsibility is to support the business side through specific tools. We have done this by announcing the incentive plans through the Recovery and Resilience Plan and the other measures we are considering.
At the same time, I would like to stress that in this region there are excellent entrepreneurs who have invested in their establishments, in gastronomy for example, and enjoy high occupancy rates or high visitor numbers. In relation to the analysis that the loss of the Russian market is to blame for everything, I would like to point out that this loss may have exacerbated the situation, but what I have described above shows that the problem is a long-standing one.
(AF/EP/NZ)
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