In a global context filled with uncertainty stemming from geopolitical tensions, growing regulatory challenges, and concern about European competitiveness, we interviewed George Mamalakis, IATA’s Country Manager Greece and Cyprus, to share firsthand insights on the key issues in these markets for our member airlines* and stakeholders.
During the Cypriot Presidency of the Council of the European Union, we worked in close collaboration with their government representatives on high-priority EU files such as passenger rights (EU 261), Entry Exit System (EES), Emissions Trading System (ETS), and the Energy Taxation Directive (ETD). We pushed for the IATA and airlines’ positions to be duly considered and provided clarifications to ensure the Presidency had a clear, comprehensive, and well-substantiated understanding of the aviation industry's views and priorities.
For the upcoming Greek Presidency, though authorities are fully aware of aviation’s critical role in supporting connectivity, tourism, trade, and economic growth, we will also convey the industry’s positions well in advance of the six-month period. Ensuring the sector’s sustainable growth is essential to maximizing its contribution to the country's economic development and competitiveness. We will also release a Policy Brief for the Government in the coming weeks. IATA and its member airlines are available and pleased to engage with the Greek Presidency representatives to provide industry perspectives, technical expertise, and detailed insights to support informed decision-making.
At the beginning of the year, the Athens Flight Information Region (FIR) was completely suspended for almost half a day. This is due to aging Air Traffic Management (ATM) communication systems and resulting malfunctions. The intense and constant digital noise on aircraft communication channels, including backup and emergency frequencies, made communication between Air Traffic Control (ATC) centers and aircraft almost impossible. While no flight safety incidents were recorded, this event, together with other constant ATC technical failures, revealed the high risk of operating outdated infrastructure.
Greece’s ATM infrastructure -communications, radar, digital systems, navigation procedures and resilience architecture- have not been modernized to enable traffic growth and meet European ATM standards. The State recently announced a modernization plan, which IATA and the Greece aviation community have been calling for repeatedly over the years. It now needs to be executed without delay to avoid similar systems failures in the future.
In parallel, Air Traffic Controllers (ATCO) staffing remains a critical factor in Greek airspace capacity and performance. The Greek State should continue implementing a structured and sustained recruitment plan to ensure that future staffing requirements are met well in advance. Greece will remain exposed to capacity constraints and delays until both recently recruited and future ATCOs complete the required lengthy training and certification to become fully operational.
I must highlight the need for both ATM infrastructure modernization and ATCO staffing initiatives to be implemented in a cost-efficient and transparent manner, with meaningful consultation and engagement of the airspace users who ultimately finance these investments through charges.
Despite the Iran war that broke out earlier this year, resulting in major flight reductions with the Middle East during the initial period, Greece experienced a very strong summer tourism season. As a result, passenger traffic at Greek airports increased by 4.5% through August 2026 compared to the already high traffic levels recorded in 2025.
This growth in passenger traffic combined with increased overflight volumes and traffic rerouted through Greek airspace, placed additional pressure on airspace capacity and resulted in higher levels of delays.
However, the Iran war has had a more direct impact on Cyprus due to greater geographical proximity to the conflict zone, as well as its heavy dependence on traffic flows to Israel, the Gulf region, and the wider Middle East. If demand initially faltered because of travelers viewing this proximity as an enhanced risk, Cypriot civil airports remained fully operational. With the regional situation gradually stabilizing, airlines began restoring frequencies in the early summer season, supporting recovery in demand. As a result, summer traffic levels remained only marginally below the record volumes recorded in 2025.
For the winter 2026/27 season, local airlines are expected to follow a more cautious approach, with demand projected to remain flat or slightly increase compared to the previous exercise. High fuel costs are likely to influence network planning decisions, leading airlines to closely review route performance and, where necessary, implement frequency reductions or schedule adjustments.
Entry Exit System (EES)
The EES implementation is having a significant impact on non-EU nationals arriving in and departing from Greece. It increases waiting times at border control, often resulting in missed connections, operational pressures at airports, as well as worsening the overall passenger experience.
IATA is working closely with all relevant stakeholders and national authorities to promote measures designed to mitigate impact, including extending the flexibility to temporarily suspend biometric data collection where operationally necessary, maintaining adequate border control staffing levels, increasing the deployment of automated border control systems, and implementing the EES pre-registration application to facilitate a smoother passenger journey.
Cyprus ANSP
IATA is working with the Cyprus Ministry of Transport on the establishment of the Cyprus Air Navigation Services Company (CyANS) as an entity operating outside the general government sector, in line with the European Air Navigation Services Provider (ANSP) model. This initiative aims to ensure full compliance with applicable EU legislation and alignment with best practices across Europe.
The creation of the new entity is essential to maintaining the safety, sustainability, punctuality, and efficiency of air navigation services within the Nicosia FIR, all the while strengthening the ANSP’s resilience and readiness to address future challenges.
SAF strategy
IATA is working with the relevant Ministries to develop a National SAF Strategy and Roadmap with both Greece and Cyprus, as well as to establish a dedicated SAF Working Group with all key stakeholders, led by the national authorities. Following best practices from other European countries, these initiatives will bring together national authorities, fuel producers, industry bodies, airports, airlines, as well as other industry stakeholders to foster a coordinated and collaborative approach to SAF deployment and management in each country.
* Aegean Airlines, Blue Bird Airways, Cyprus Airways, Marathon Airlines, Olympic Air, Sky Express, TUS Airways
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