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Israeli tourism suffers $3bln loss amid 'unprecedented' crisis

  • By Al Mayadeen English
  • Source: Israeli media
  • 14 May 2025 21:18
  • 3 Shares
3 Min Read

he Israeli tourism sector is experiencing a significant downturn due to the ongoing Gaza war, with a 90% drop in tourist arrivals, and losses exceeding 3 billion dollars.

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  • A Fly Dubai plane is parked on the tarmac at Ben Gurion International Airport in the Occupied Palestinian Territories, Sunday, Nov. 10, 2024 (AP)
    A Fly Dubai plane is parked on the tarmac at Ben Gurion International Airport in the occupied Palestinian territories, Sunday, Nov. 10, 2024 (AP)

The Israeli tourism industry is suffering from a massive recession since the beginning of the Israeli war on Gaza in October of 2023, evident in a huge decline in incoming tourists and massive monetary losses.

According to data from the occupation's tourism ministry, the sector is facing an "unprecedented crisis", with a recorded decline of over 90% in the number of incoming tourists since the initiation of "Israel's" war on Gaza on October 7, 2023.

Additionally, estimates from the Israeli channel Makan indicated that the direct and indirect losses in the tourism sector in "Israel" have so far exceeded 12 billion shekels (approximately 3.5 billion dollars).

Israeli officials attribute this sharp decline to an almost complete halt in international air traffic, travel warnings issued by dozens of countries, as well as the security uncertainty and instability on the Israeli home front.

Occupancy rates drop to historic lows

The Israel Hotel Association confirmed that occupancy rates in tourist hotels have dropped to historic lows, not exceeding 10% in some areas, compared to rates surpassing 80% in similar seasons in previous years, forcing a large number of hotels and tourist facilities to reduce operations or temporarily close.

Israeli tourism sector sources expressed concern that the crisis could persist long after the war ends due to the damage inflicted on "Israel's" image as a "safe tourist destination," noting that rebuilding international market trust may require considerable time and double promotional efforts.

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Yemen enforces aerial blockade on 'Israel'

The Yemeni Armed Forces announced that they will impose an air blockade on "Israel", in a statement published on May 4, marking their latest escalation of operations against the Israeli occupation in support of Gaza.

The statement warned all international airlines to take this threat seriously from the moment of its issuance and cancel all flights to Israeli airports to preserve the safety of their aircraft and passengers.

For instance, Air Canada announced yesterday that the suspension of flights to "Israel" is being extended until September 8 and will not be resumed on June 8 as previously expected.

Polish airline LOT, Germany’s Lufthansa, France’s Air France, Italy’s ITA, as well as the American airlines Delta and United and Britain’s British Airways, have all suspended flights to and from "Israel" for varying periods, some extending until mid-June.

On May 8, the YAF released a video clip showing coordinates and the name of three key Israeli airports in the occupied Palestinian territories, labelling them as "unsafe" in a threat of retaliation after "Israel" escalated its aggression on Sanaa.

"Unsafe airports

שדות תעופה לא בטוחים
pic.twitter.com/o1QgJl9xAi

— Yemen Military 🇾🇪 (@Yemenimilitary) May 7, 2025

Earlier in the same day, the Yemeni Armed Forces launched a hypersonic ballistic missile targeting Ben Gurion airport in the occupied Palestinian territories, specifically aimed at Terminal 3. 

Israeli media reported on Sunday that a Yemen-launched missile hit near Terminal 3 of Ben Gurion Airport in Tel Aviv, triggering visible smoke plumes, disrupting flights and nearby train traffic, and causing several injuries according to Magen David Adom emergency responders.

The Yemeni Armed Forces launched another missile attack targeting the Ben Gurion airport on May 13, forcing millions of settlers to flee into shelters and halting air traffic at the airport, further reaffirming the aerial blockade on "Israel".

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