Turkey, with its unique geographical location across Europe and Asia, rich historical heritage, and diverse cultural atmosphere, has long been a world-renowned tourist destination. However, in recent years, under the backdrop of inflation and the continuous devaluation of the Turkish lira, tourists have found that traveling to Turkey has become increasingly expensive. So, what impact has ongoing inflation had on Turkey’s tourism industry? Will soaring prices push tourists further away? Latest.com reporter recently visited Turkey to explore the challenges inflation has brought to the country’s tourism sector.
Tourists Call Entry Fees “Ticket Shock”
For visitors to Turkey, entry fees have become a significant expense, with many online users humorously referring to Turkish attractions as “ticket shockers.” Take Istanbul’s famous sites as an example: Hagia Sophia (€25, or €50 with the museum), Basilica Cistern (900 lira, with 100 lira roughly equivalent to ¥20.7), Topkapi Palace (1700 lira), Dolmabahce Palace (1200 lira), and Galata Tower (€30). A typical foreign adult tourist (as Turkish attractions often have different pricing for domestic and foreign visitors) would spend more than ¥1200 to visit just these five sites.
Some tourists have posted on social media platforms that guidebook updates can’t keep up with Turkey’s rising entry fees. When the reporter visited Dolmabahce Palace on October 4, the regular foreign adult ticket was 1200 lira. A user posted in August that the ticket was 1050 lira, and in April 2023, it was just 450 lira. Jingjing, who visited Turkey in 2015, recalled that entry fees for most attractions were just 30-40 lira back then (with 1 lira roughly equaling ¥2 at the time).
On October 18, the Turkish lira’s exchange rate dropped to 34.2938 lira per U.S. dollar, compared to 29.528 lira per dollar at the beginning of the year. In recent years, the lira has been continuously devaluing, falling by around 44% in 2021, 30% in 2022, and nearly 50% in 2023.
In light of the lira’s devaluation, many Turkish attractions and experience services now use euro pricing. For example, hot air balloon companies in Cappadocia quote and charge in euros (some also accept U.S. dollars). Attractions like Hagia Sophia, Galata Tower, Ephesus, and Pamukkale all use euro pricing, but the ticket offices clearly state, “Euros not accepted, only Turkish lira.” Tourists holding euros can’t buy tickets directly with cash, and even if paying by credit card, the transaction is processed in lira. This makes it difficult for foreign tourists to quickly calculate how much they’re paying for tickets.
This pricing method also provides more room for attractions to increase revenue. At Pamukkale, for instance, when the reporter bought a ticket, a set of earphones was included, with the staff stating they could be used for the audio guide. After reviewing the credit card statement and doing the conversion, the reporter realized they had paid nearly €40, while the ticket price for Pamukkale was €30. When questioned, the staff said it was a standard package. This kind of bundling is also reported at other attractions like Galata Tower.
In fact, the sharp rise in entry fees for Turkish attractions gained attention earlier this year when Hagia Sophia (now a mosque) began charging foreign visitors for entry. Some media outlets criticized the different pricing for domestic and foreign tourists as unfair. Beyond just the price difference, foreign tourists can now only visit the second floor of Hagia Sophia and no longer access the ground floor of this historically significant building. Some online users argue that it’s unreasonable to charge nearly ¥200 for sites like Hagia Sophia and the Basilica Cistern, which only take about 30 minutes to visit. Apparently, even the staff at Hagia Sophia think half an hour is too long, as when the reporter asked for a mosque-only ticket (priced at €25), the staff repeatedly emphasized, “Are you sure? The mosque only takes 10 minutes to see.”
Domestic Tourists Flee to Greece
Rising ticket prices are just the tip of the iceberg. Inflation has caused a significant increase in overall tourism spending in Turkey.
“The prices we saw in Turkey before are long gone,” said Aidan, a British blogger, in a TikTok video, adding, “Everything is expensive.” And it’s not just this one blogger who’s noticed the change. The Daily Express recently reported, “Videos are surfacing on TikTok of tourists claiming Turkey has become extremely quiet. Some tourists predict Turkey will be ‘empty in a few years’ due to steep price hikes at popular destinations.”
Another blogger, slimwadie5, compared last year’s prices with this year’s: A one-hour boat trip rose from £20 to £120, and a Burger King burger jumped from £5 to £12—“that’s London pricing.” He also mentioned that his family has vowed never to vacation in Turkey again.
Behind the rising tourism costs is Turkey’s soaring inflation. Euronews reported that Turkey’s inflation rate surged to 75.4% in May. Fortune magazine noted that in June, hotel and restaurant prices in Turkey rose by an average of 91% year-on-year. According to German data firm Statista, Turkey’s Producer Price Index (PPI) has been steadily rising, directly contributing to increased consumer goods and services costs. While overall inflation has begun to slow, food prices continue to rise, up 68.1% in June compared to the same month last year.
In addition to rising prices, high inflation has also significantly increased labor costs. Savaş Sarıçoğlu, chairman of the Professional Hotel Managers’ Association board, stated that staff costs have risen by 45% in euro terms.
The Economist reported that reckless interest rate cuts have led to Turkey’s spiraling inflation. The Turkish central bank is now trying to combat this with tighter policies like raising interest rates. However, Financial Times noted that in Q2 this year, Turkey’s economic growth slowed to its lowest level since the pandemic, with the 50% benchmark interest rate putting tremendous pressure on businesses and households.
The price hikes caused by inflation have severely impacted Turkey’s domestic and international tourism markets. The Travel and Tour World website reported that Marmaris, once an affordable vacation spot, is now criticized for high prices and aggressive sales tactics, leading to a noticeable drop in visitor numbers. Bodrum’s domestic tourism market has shrunk by 20% compared to last year, while bookings in Antalya, located on the Mediterranean coast, have dropped by 5% to 10%. Tourists have voiced concerns over rising prices for food and tickets in popular destinations like Marmaris.
Due to these price increases, Turkish tourists are now flocking to nearby destinations like Greece. According to Meriç, chairman of the Turkish Travel Agents Association’s Izmir Regional Representative Committee, Turkish tourists visiting Greece’s Samos Island are expected to rise from 35,000–40,000 last year to 100,000–150,000 this year. Greece’s new visa policy announced in April, allowing Turkish passport holders to visit 10 islands without a Schengen visa for up to one week, has contributed to this rise.
Some Turkish tourism industry insiders are expressing concern over the country’s declining appeal to international visitors. Ramazan Bingöl, chairman of the Turkish Restaurants and Tourism Association, said that some foreign tourists are looking for alternative destinations, adding, “Turkey has become an expensive country, and many tourists are staying away.” The Turkish Restaurants and Tourism Association has tried to encourage its 30,000 member businesses to cut service prices by 10%, but due to high inflation and low profit margins, many operators may struggle to comply.
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