Turkey is no longer considered a cheap resort destination as rising prices and currency controls reduce European tourist numbers, according to a report by Bloomberg.
Data from the Turkish Ministry of Culture and Tourism shows total tourist arrivals fell by 3.6 percent year on year in May, followed by a 4 percent drop in June and a further 0.3 percent decline in July, driven largely by a drop in visitors from Europe.
Tour operators and travel agencies say the high prices stem primarily from Turkish monetary policy, which keeps the devaluation rate of the Turkish lira lower than the rate of national inflation. While the government in Ankara aims to reduce domestic inflation and lower cost pressures for local consumers, the policy effectively raises expenses for foreign holidaymakers.
Industry experts noted that the country's geographic proximity to Iran, where conflict continues, has also influenced consumer demand and restricted the ability of travel firms to offer budget holiday packages.
Shift to alternative budget destinations
British travel company Holiday Extras reported that holidaymakers seeking lower prices are redirecting their bookings to alternative Mediterranean and Eastern European locations, including Slovenia, Montenegro, and Tunisia.
Tony Basoglu, who manages a commercial firm and lets out holiday villas in the southern resort province of Antalya, said Turkey had long been viewed as a cheap option, but that was no longer the case. He added that while visitors still travel to the region and enjoy their stays, the country can no longer be categorized as a low-cost destination.
Antalya, located on Turkey's Mediterranean coast, is one of the country's primary tourism hubs, drawing millions of international visitors annually to its coastal resorts and private rental properties.
Domestic travel declines and hotel revenue
Rising local prices have also prompted Turkish residents holding foreign visas to seek holiday options outside their home country. Latest statistics from the Turkish Statistical Institute show that domestic tourist trips in 2025 dropped compared to the previous year, marking the first decline in internal travel since the outbreak of the COVID-19 pandemic.
Despite the overall reduction in visitor numbers, higher prices per stay have helped offset financial losses for the hospitality sector. In 2025, tourism revenues accounted for 4.1 percent of Turkey's gross domestic product.
Legal pressure on international booking sites
The shift in market conditions comes amid heightened regulatory scrutiny within the Turkish travel sector. In January, the Association of Turkish Travel Agencies, known as TÜRSAB, filed a court request to block domestic access to 10 foreign travel websites, including major online booking platforms Airbnb and Expedia.
TÜRSAB accused the overseas digital platforms of engaging in unfair competition, tax evasion, and creating risks for consumer rights protection across the country's holiday market.
