The European Hot Spots Struggling With the Tourist Masses
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The European Hot Spots Struggling With the Tourist Masses

Italy, Spain and Greece are on track for a record-setting tourism season, and not everyone is happy about it; ‘It’s too much’

By ERIC SYLVERS
Mon, Jul 3, 2023 8:46amGrey Clock 4 min

MONTEROSSO AL MARE, Italy—A worker shouts in Italian, English and French, directing throngs of tourists through the small train station. Wild gesticulations, a fluorescent yellow vest and a booming voice help her to stand out on the packed platform.

Swarms of people holding backpacks and water bottles squeeze past each other, some heading for a departing train, others for the exit and a stunning view of the sea and cliffs that have made the villages of Italy’s Cinque Terre a global tourist draw.

Outside the station, lines form at food shops. Signs say all the umbrellas and reclining chairs are occupied at the pay-only beach on Monterosso’s waterfront. Narrow alleyways are crammed with tourists eating gelato or sipping bubble tea.

“Tourism is necessary, it’s almost all we have here, but it’s too much,” said Angela Costa, a longtime Cinque Terre resident.

Italy’s tourist season started with a record number of visitors over Easter. In the Cinque Terre, the congestion was so bad that local officials made the area’s famous hiking trails one-way on the busiest days. The situation repeated itself over several weekends in May and June.

“Easter was crazy, and now it’s ramping up again,” said David Cefaliello, who works in a cafe in Corniglia, another of the five Cinque Terre villages. “We aren’t at pre-Covid levels yet, but I suspect that will change in a few weeks.”

Millions of Europeans and Americans are engaging in so-called revenge tourism, making up for lost travel time during the pandemic-affected years of 2020-22. Millions of Chinese tourists are expected to visit Europe this summer and fall after the elimination of China’s travel restrictions.

Italy is likely to surpass the record number of tourists and overnight stays set in 2019, before Covid struck, according to market research firm Demoskopika. Arrivals in the period from June to September are expected to be 3.7% higher than the same period in 2019 and 30% more than a decade ago. Italy’s Tourism Ministry has also said it expects a record year, as have Spanish and Greek officials.

All those visitors are giving a welcome boost to Southern Europe’s economies, which depend heavily on tourism. In Italy, more than 10% of the economy is linked to travel and tourism, compared with 15% in Spain and 19% in Greece, according to the World Travel and Tourism Council. In France and the U.S., the level is around 9%.

But locals are increasingly asking how much the Cinque Terre, Barcelona and Athens can take. Discontent is also rising in some places, spurring local efforts to rein in the tourist hordes.

In Portofino, a small upscale village on the Italian Riviera popular with the international jet set, police are fining people who block foot traffic to take selfies.

In 2024, Venice plans to introduce an entry fee to the city on the busiest days of the year, according to the mayor’s office.

In Barcelona, locals hang signs saying “tourists are terrorists,” while in Athens, residents complain about how the spread of Airbnb rentals for tourists is driving up rents and displacing Greeks from the city centre.

In May, about 10,000 short-term rental properties were available in Athens, almost a quarter more than in May 2018, according to market-research firm AirDNA. Demand for short-term rentals in Greece increased 62% in May compared with the same month last year, the firm said.

The Italian Alpine region of Alto Adige has capped the number of beds available for tourists in private properties to fight the proliferation of short-term rentals.

The crowds are spreading far beyond the Mediterranean. On the coast of Normandy in northern France, authorities have turned people away from Mont Saint-Michel, the tidal island topped with an abbey. The Louvre museum in Paris has put a daily limit on the number of visitors.

The French government is planning an advertising campaign to encourage people to travel at different times of the year and to consider less-famous destinations.

The flow of tourists to France has held strong even as the country has been racked with protests, including months of demonstrations over President Emmanuel Macron’s decision to raise the age of retirement. Now the country is grappling with nightly riots following the shooting of a teenager by police.

Luxury hotels in Europe are enjoying the boom, but many are looking for new ways to keep their high-paying clients happy despite the masses of tourists.

“We are always looking for something we can offer that will avoid the crowds, like hiking trails that are less well known, a private boat trip to Capri or a wine-tasting tour,” said Pietro Monti, head of marketing at the five-star Hotel Mediterraneo near the Amalfi coast, where rooms cost an average of about $1,200 a night. “But when it’s the high season, especially a record year like this, some crowding is inevitable.”

Crowds are hard to avoid in Vernazza, the Cinque Terre village that sits just south of Monterosso. On the rocks surrounding the small port, sunbathers battle for space with children kicking a soccer ball and people jumping into the sea. The crush on the rocks grows when boats arrive from one of the nearby towns.

Juli Eger, who was sipping wine and eating focaccia on a recent morning in Monterosso, while ignoring the crowds around her, finds her own workarounds.

“We were just in Venice and if you walk around very early in the morning, you only have to share the city with people taking engagement photos,” said Eger, who is traveling with her mother, husband and teenage son. “If you make Venice your first stop you’ll be jet-lagged, so getting up at 5.30 in the morning won’t even be a problem.”

Allison Pohle and Stacy Meichtry contributed to this article.



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China’s securities regulator is ramping up support for the country’s embattled equities markets, announcing measures to funnel capital into Chinese stocks.

The aim: to draw in more medium to long-term investment from major funds and insurers and steady the equities market.

The latest round of policy boosts comes as Chinese stocks start the year on a soft note, with investors reluctant to add exposure to the market amid lingering economic woes at home and worries about potential tariffs by U.S. President Trump. Sharply higher tariffs on Chinese exports would threaten what has been one of the sole bright spots for the economy over the past year.

Thursday’s announcement builds on a raft of support from regulators and the central bank, as officials vow to get the economy back on track and markets humming again.

State-owned insurers and mutual funds are expected to play a pivotal role in the process of stabilizing the stock market, financial regulators led by the China Securities Regulatory Commission and the Ministry of Finance said at a press briefing.

Insurers will be encouraged to invest 30% of their annual premiums earning from new policies into China’s A-shares market, said Xiao Yuanqi, vice minister at the National Financial Regulatory Administration.

At least 100 billion yuan, equivalent to $13.75 billion, of insurance funds will be invested in stocks in a pilot program in the first six months of the year, the regulators said. Half of that amount is due to be approved before the Lunar New Year holiday starting next week.

China’s central bank chimed in with some support for the stock market too, saying at the press conference that it will continue to lower requirements for companies to get loans for stock buybacks. It will also increase the scale of liquidity tools to support stock buyback “at the proper time.”

That comes after People’s Bank of China in October announced a program aiming to inject around 800 billion yuan into the stock market, including a relending program for financial firms to borrow from the PBOC to acquire shares.

Thursday’s news helped buoy benchmark indexes in mainland China, with insurance stocks leading the gains. The Shanghai Composite Index was up 1.0% at the midday break, extending opening gains. Among insurers, Ping An Insurance advanced 3.1% and China Pacific Insurance added 3.0%.

Kai Wang, Asia equity market strategist at Morningstar, thinks the latest moves could encourage investment in some of China’s bigger listed companies.

“Funds could end up increasing positions towards less volatile, larger domestic companies. This could end up benefiting some of the large-cap names we cover such as [Kweichow] Moutai or high-dividend stocks,” Wang said.

Shares in Moutai, China’s most valuable liquor brand, were last trading flat.

The moves build on past efforts to inject more liquidity into the market and encourage investment flows.

Earlier this month, the country’s securities regulator said it will work with PBOC to enhance the effectiveness of monetary policy tools and strengthen market-stabilization mechanisms. That followed a slew of other measures introduced last year, including the relaxation of investment restrictions to draw in more foreign participation in the A-share market.

So far, the measures have had some positive effects on equities, but analysts say more stimulus is needed to revive investor confidence in the economy.

Prior enthusiasm for support measures has hardly been enduring, with confidence easily shaken by weak economic data or disappointment over a lack of details on stimulus pledges. It remains to be seen how long the latest market cheer will last.

Mainland markets will be closed for the Lunar New Year holiday from Jan. 28 to Feb. 4.

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11 ACRES ROAD, KELLYVILLE, NSW

This stylish family home combines a classic palette and finishes with a flexible floorplan

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Just 55 minutes from Sydney, make this your creative getaway located in the majestic Hawkesbury region.

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