Why holidays in Turkey seem expensive. Analysis

Turkey has once again recorded high inflation, which has caused hotels and restaurants to rise in price by 34% over the year. However, this circumstance does not make holidays in the country significantly more expensive for Russians. Thanks to the strengthened ruble and the willingness of hoteliers to make discounts due to falling demand, holidays in Turkey may become more profitable than in previous years. What other directions Russians can afford can be found in the Izvestia article.

What is the inflation rate in Turkey

• Vacation prices in Turkey are significantly affected by chronically high inflation, which has been reaching double digits in recent years. From September 2023 to July 2024, it consistently exceeded 60%, reaching a peak value of 75.45%. Since then, it has been gradually decreasing, but it has not reached acceptable levels. According to the latest data from the Turkish Institute of Statistics, monthly inflation was 33.52% in July.

• Inflation is also reaching high levels in the tourism sector. In July, an annual rise in prices of hotels, cafes and restaurants was recorded by 34.16%. Over the past month, their prices have increased by 2.24%. Related products and services are also becoming more expensive: groceries (27.95%), utilities (62.01%), transport (26.57%), recreation and culture (27.52%). This affects prices in hotels and restaurants.

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Travelers are not canceling their vacation packages yet

• Inflation in Turkey has been accelerated for a long time by the central bank's low interest rate, and now it is strongly affected by the weakening lira, which has become one of the most depreciating currencies in the world. The current exchange rate of the lira has already dropped below 2 rubles and is 1.98 rubles, while the average for 2024 was 2.82 rubles— a drop of 42%. Over a longer distance, the lira shows a multiple collapse — 10 years ago it was 10 times more expensive.

Has vacation in Turkey become more expensive

• High inflation in Turkey does not mean that holidays in this country are becoming unaffordable for Russians. In part, rising prices are offset by the weakening lira, especially since in 2025 the ruble itself has significantly strengthened against world currencies. The dollar and euro are widely used in the tourism sector for settlements, which allows prices in rubles to stay at the same level. In terms of frequency, Turkey charges Russia prices in euros.

• The cost of tours is also affected by demand for them, and it has decreased this year for various reasons, from problems with air travel to a reduction in the number of Russians whose financial situation allows them to vacation abroad. As a result, this year the utilization of resorts at various levels is far from what hoteliers expect. This is already encouraging them to make discounts and special offers in order to complete the season without losses. Tourists have the opportunity not only to book a hotel of interest at any time and in any place, but also to save money compared to last year.

• Air travel puts a lot of pressure on the cost of travel packages. They have indeed become significantly more expensive in recent years, both from domestic and foreign carriers. Flight cancellations due to weather and safety reasons, as well as the conflict between Israel and Iran, which greatly affected air travel, forced airlines to increase prices again this year.

What are the alternatives?

• The strengthened ruble makes foreign vacations quite profitable for Russians, at least compared to previous years. This is especially true in countries where inflation is not as high as in Turkey, and at the same time you do not need to make long flights to them.

• Egypt has become a promising destination this year. Although it used to be more often a popular winter destination, it has now become an alternative to Turkey for many Russians. Egypt is still in the process of restoring the tourist flow after the COVID-19 pandemic, so its resorts are ready to provide discounts and create a favorable impression for the future. At the same time, experts note that the level of service and quality of holidays in Turkey and Egypt are close.

• The opening of flights to Abkhazia has also made the republic a popular and quite profitable destination. The country accepts Russian rubles, so there is no need to carry foreign currency and lose part of the funds on its exchange. At the same time, the demand for Abkhazia has not yet become so high that hotels have significantly raised prices.

• A number of countries can also offer affordable accommodation and food options. These include Thailand, Vietnam and India. However, discounted flights, which are sometimes offered by carriers at the last moment, will make a truly profitable vacation in these countries.