Article: “Is Turkey Becoming Too Expensive for Tourists?” Economist Hakan Kara Thinks So

As the global tourism industry slowly rebounds, Turkey appears to be falling behind — and economist Prof. Dr. Hakan Kara believes the reason is clear: Turkey is becoming too expensive.

In a recent social media post, Kara, a former chief economist of the Turkish Central Bank and current professor at Bilkent University, shared his take on the latest tourism figures. While global tourism is expected to grow by around 4% in 2025, Turkey’s tourist numbers in the first half of the year only increased by 1.7%. For Kara, this disparity confirms a growing concern: Turkey is pricing itself out of the international tourism market.

He pointed out that while dollar-based tourism revenues might suggest a positive trend, they didn’t tell the full story. “The increase in tourism income in dollar terms is an illusion,” Kara said. He noted that per capita tourist spending in dollars had increased by 29% over the past decade. However, U.S. inflation over the same period was 35%, meaning that when adjusted for inflation, real tourist spending per visitor had actually gone down.

So what does this mean? Simply put, tourists might be spending more in absolute terms, but they’re getting less for their money — and they’re noticing. When a destination becomes relatively more expensive without delivering better value, it risks losing its competitive edge.

Remarks Come at a Time When Turkey Is Facing Economic Challenges

Kara’s remarks come at a time when Turkey is facing broader economic challenges, including high inflation and currency volatility, both of which are contributing to rising costs across the board. For the tourism sector — a key pillar of the Turkish economy — this could mean a critical period of reflection and recalibration.

If Turkey wants to maintain its appeal as a top tourist destination, it may need to focus not just on attracting more visitors, but on delivering better value for the money they’re spending.