Israel Can Host 10 Million Tourists, Says Isrotel CEO
Israel's tourism sector is showing signs of recovery, though it has yet to reach pre-pandemic and pre-war levels. In August 2026, 115,900 tourists visited Israel, a figure similar to the previous year. However, hotel stays in the first seven months of the year were down 7% compared to 2025. Lior Raviv, CEO of the Isrotel hotel chain, expressed optimism, citing strong domestic demand and early signs of returning foreign visitors. He believes Israel could eventually attract 10 million tourists annually, provided security improves.
Raviv stated that Isrotel currently operates 27 hotels in Israel and employs around 6,000 people, with thousands more jobs supported indirectly. The company is also expanding internationally, with four hotels in Athens and two under construction in Rome. Despite international growth, Isrotel is investing heavily in Israel, planning to open ten new hotels and aiming for a total of 35 hotels within three years, many in its luxury segment.
He highlighted robust demand from Israelis, noting a loyal customer base of nearly one million through their "Hug HaShemesh" club. Raviv anticipates a significant return of inbound tourism, particularly to Tel Aviv, as flight availability increases from the US and Europe. He projects ending 2026 with approximately one million tourists, a substantial increase from current figures but still far from the pre-war peak of over five million.
The Russian market, once Israel's second-largest source of tourists after the US, has significantly weakened due to the war in Ukraine. Raviv expressed hope for its eventual return, emphasizing the strong affinity Russian-speaking tourists have for Israel. He also noted the historical importance of medical tourism from the region.
Raviv identified several key foreign tourist demographics: American pilgrims and delegations, Jewish organizations, families on bar mitzvah tours, and business travelers, particularly from the tech sector. European markets like the UK, Germany, and France remain important, with nascent signs of recovery from Asian tourists. He stressed that Israel's security image and ongoing regional tensions pose challenges to attracting tourists, advocating for a coordinated marketing campaign by the Ministry of Tourism and other government bodies to improve the country's image.
Raviv forecasts a significant return to 2018-2019 tourism levels by the second quarter of 2027, contingent on improved security. He believes that increased tourism not only benefits the economy but also positively impacts Israel's global perception as visitors become ambassadors for the country.
