Turkey vacation: Rising prices and fewer bookings – what now?

Turkey vacation: Rising prices and fewer bookings – what now?

Turkey remains an attractive travel destination for German tourists, but economic turbulence is increasingly affecting bookings. Loud tagesschau.de Prices in hotels and restaurants have risen sharply, leading to a decline in bookings. In June 2025, prices for tourism-related services rose by around 36 percent compared to the previous year. This is reflected in a decline in bookings of around 10 percent, as reported by German travel agencies and online portals.

The economic situation is additionally burdened by high inflation. Officially, the inflation rate in Turkey was 35 percent in June 2025, but independent experts estimate it to be twice that. This high inflation is leading to rising prices, especially in the hotel and catering industry, which fear further increases in 2024. Critical voices warn that the inflation rate rose from 38 percent in June 2023 to 64.8 percent by December 2023, which complicates travel planning for many vacationers.

The influence of the lira rate

However, the weak value of the lira compared to the euro represents an advantage for travelers from euro countries. Their currency is gaining purchasing power, which still makes Turkey appear as a cheap holiday destination. The average price for a hotel room in Istanbul last summer was 138 euros and in Antalya it was 110 euros - that's 37.4 percent more than the previous year. Nevertheless, bookings from Germany remain at a high level, as German holidaymakers tend to save money on vacation rather than forego travel altogether.

These developments have also impacted travel patterns. While package holidaymakers are often confronted with high prices, individual travelers can benefit from bargains. Tour operators are responding to economic challenges by demanding new offerings, including cheaper basic packages rather than all-inclusive options. Russian tour operators have already introduced alcohol-free all-inclusive packages that are more attractively priced.

Political uncertainties and their effects

Difficulties in the financial markets were compounded by the arrest of Istanbul Mayor Ekrem İmamoğlu. President Erdoğan remains committed to his policy of an interest-free economy, which has weakened confidence in financial markets. In this context, the Turkish central bank is showing difficulties in stabilizing the lira as it struggles with low foreign exchange reserves. The current key interest rate is 46 percent, while the new Finance Minister Mehmet Şimşek is trying to restore confidence in the financial markets. Nevertheless, the economic situation remains a concern, especially given the geopolitical uncertainties that could also affect tourism in Turkey.