From his booth overlooking the ferries docked at Piraeus, Tassos Papadopoulos cuts tickets for passengers traveling to the islands of the Saronic Gulf. It’s 5 p.m. on a hot summer day, and through the sun-streaked haze, he watches cars and trucks lining up to cross the steel ramp into the hold of the vessel bound for Aegina. Last year, the lines were much longer. “People aren’t traveling, it seems,” he says with a shrug. “Weekend traffic is heavier, but ticket sales are down by about 50%.”
The Argo-Saronic islands, shimmering within sight of the hills below the Acropolis, are popular precisely because they’re so close to Athens. In 2024, Aegina drew more than 2 million visitors, many of them budget-conscious Greeks attracted by the island’s affordable ferry fares.
“This time last August, all the sun loungers over there were taken by 10 a.m.,” says Konstantinos Tsantas, who runs a watersports business on shores framed by the jagged outline of the Peloponnese in the distance. “This year, they’re empty. I know watersports operators all over the country, and they all say the same thing: business is down. And to think, Aegina is relatively cheap.”
2025 will be remembered as the year Greeks gave up their annual trip to the beach. The carefree joys of summer, celebrated by singers, songwriters, poets, and filmmakers, have for many been overshadowed by the struggle to make ends meet.
“Our studies show that one in two Greeks will not go on holiday this year,” says Takis Kalofonos, chief financial adviser at EEKE, the union of working consumers in Greece. “Ten years ago, people would take 20 or even 30 days off. This summer, it’s less than a week. The Cyclades and more distant islands are a distant dream for many Greeks. Who can pay €450 for boat tickets—the cost for a family of four with a car—when the average salary is €1,342 a month?”
The traditional August retreat, often centered around the religious festival of the Dormition of the Virgin Mary on August 15, has for many been reduced to a few days spent with family or friends in villages on the mainland.
“I’d love to spend time in Amorgos, but getting to an island that far is just out of reach,” says Ismini Balale, a 28-year-old struggling to get by on a retail sector salary of €850 a month. “I can’t afford €200 a night for a room. All my friends are in the same situation, and we all have postgraduate degrees. We’re just taking a few days off here and there this summer.”
The European Statistics agency, Eurostat, recently confirmed EEKE’s findings, reporting that 46% of Greeks—19% higher than the rest of the EU—could not afford a one-week holiday last year.
In Athens, August has brought once-unimaginable scenes: the public transport system is packed; traffic in the city center remains heavy; seats at open-air cinemas are sold out; and bars and fast-food restaurants are filled with young Greeks who couldn’t get away.
“They talk about our country’s economic recovery, but none of those positive indicators affect people like me,” says Balale. “And I don’t think this government much cares.”Email Address Sign Up
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Paradoxically, the very appeal of Greece as an ideal holiday destination is making it increasingly unaffordable for Greeks to vacation there. Last year, the country welcomed 36 million tourists—nearly four times its population—cementing its status as one of the world’s top 10 travel spots. The tourism industry generated an estimated €21.7 billion in revenue in 2024, helping Athens reduce its massive public debt from 180% of GDP during the worst of the debt crisis to 153.6%.
Yet while tourism drives the Greek economy and supports at least one in five jobs, this success has come with soaring prices. Wages, on the other hand, have stagnated, lagging behind inflation rates that have risen much faster than in other EU countries. This has led to a sharp increase in the cost of living. Many Greeks who manage to save say it’s now cheaper to vacation abroad than at home.
A June poll by Alco identified skyrocketing costs for accommodation, ferry tickets, and restaurant meals as the main barriers to travel.
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Aris Apikian outside the shop where he works in central Athens. Photograph: Helena Smith/The Guardian
“Greeks are being priced out of what was once a cultural and religious tradition—the August holiday,” says Prof. Christos Pitelis, an expert in industrial economics and the tourism sector at the University of Southampton. “With shrinking disposable incomes, it’s an experience many simply can’t afford.”
The middle class, hit hardest by the austerity measures imposed during Greece’s financial rescue a decade ago, may see some relief. Prime Minister Kyriakos Mitsotakis has promised support measures, and his center-right government aims to cut taxes and raise the average monthly wage to €1,500 by 2027.
Still, Greeks are acutely aware that while foreign visitors enjoy the country’s natural beauty and attractions, these pleasures have become distant memories for many locals.
“We are the Thailand of Europe—we provide services for others to enjoy,” says Aris Apikian, watching tourists pass by the carpet shop where he works in central Athens. “While foreigners live their dreams here, we face the harsh realities of what’s wrong. Who wants to go on holiday when you’re warned about rising energy bills and other costs? It’s dawning on us that we Greeks are the real losers, now that we can’t even afford a week off.”
Frequently Asked Questions
Of course Here is a list of FAQs about the topic designed to be clear concise and helpful
General Beginner Questions
1 Why is Greece called the Thailand of Europe
This nickname highlights how Greece has become an incredibly popular and affordable holiday destination for foreigners known for its beautiful islands vibrant nightlife and welcoming atmosphere similar to how Thailand is viewed in Asia
2 Whats the main problem with this tourism boom
While tourism brings money it has also caused the cost of living to skyrocket in popular areas This makes it very difficult for local Greeks who often earn local wages to afford to live in their own hometowns
3 Which areas in Greece are most affected by this
The most famous islands like Mykonos Santorini and Crete as well as trendy neighborhoods in Athens are experiencing the most extreme effects of rising costs and overcrowding
4 Is it still a good idea to vacation in Greece
Yes absolutely Tourism is vital to the Greek economy The key is to be a mindful travelerconsider visiting during the shoulder seasons exploring lesscrowded islands and supporting local familyrun businesses
Deeper Advanced Questions
5 How exactly are locals being pushed out
Many landlords now prefer to rent properties to tourists on platforms like Airbnb for much higher prices than they could get from a longterm local tenant This creates a housing shortage and forces locals to move to cheaper often less convenient areas
6 Besides high rent what other problems does this cause
It can strain local infrastructure change the character of neighborhoods and create seasonal ghost towns in the winter when tourists leave and businesses shut down
7 What is the Greek government doing about this
The government has introduced some measures like setting a cap on the number of shortterm rentals in certain areas and offering tax incentives for longterm leases to locals However enforcement is a challenge and many argue its not enough
8 Are there any benefits for locals from this situation
Yes the tourism industry creates a massive number of jobs in hospitality transportation and services Many locals and especially young people rely on these jobs for income
