Tourist influx to Israel plummets – where the situation is critical

Israel's tourism industry is in crisis following the March war with Iran. According to the Israel Hotel Association, the number of foreign tourist overnight stays in the first half of 2026 fell nearly threefold compared to last year and by 75% relative to 2023. The lowest hotel occupancy rates were recorded in Nazareth (19%), Jerusalem (31%), and Tiberias (29%).

Israel's tourism industry is experiencing an unprecedented crisis in the wake of the March war with Iran. According to the Israel Hotel Association report, the number of foreign tourist overnight stays in Israeli hotels in the first half of 2026 fell nearly threefold compared to 2025 and by 75% relative to pre-war 2023. In January–June 2026, foreign guests spent about 1.29 million nights in hotels — 5% less than in the same period of 2025 (1.35 million). However, this figure is higher than the 2024 level (971,000 nights), which was the worst during the 'Iron Swords' war. Average hotel occupancy was only 44%, down from 50% in 2025. The highest occupancy was in Herzliya (70%), followed by Eilat (66%) and the Dead Sea area (48%). Below average were Netanya (43%), Tel Aviv (40%), Haifa (38%), Jerusalem (31%), and Tiberias (29%). The most difficult situation is in Nazareth — 19%. The number of Israeli overnight stays fell by 9% compared to 2025, totaling about 7.2 million, but remains 6% above the 2023 level due to flight restrictions.