Tourism in Israel is still in a slump, after a significant downturn in the fourth quarter of 2023 according to data from Israel’s Central Bureau of Statistics. The reopening of Terminal 1 at Ben Gurion Airport and restarted operations from low-cost airlines might help reverse that trend, bolstering Israel’s struggling tourism sector.

Tourism is a vital sector in Israel, accounting for 2.8% of the country’s gross domestic product and about 3.5% of its total employment. Direct and indirect tourism jobs account for about 6% of all jobs in Israel.

Israel’s tourism industry suffered during the coronavirus pandemic, but the industry was on the road to recovery before the October 7 attacks. Since the attacks, much of the tourism industry in Israel has experienced a shutdown reminiscent of the coronavirus era. But while COVID-19 affected the entire world, the Israel-Hamas war is a localized problem. Many airlines chose to stop running flights to Israel and use their planes for other routes instead.

During the fourth quarter of 2023, 180,000 tourists visited Israel, an 82% decrease from the 930,000 tourists recorded in the same period in 2022.

The number of tourists in Israel has slowly increased since the war broke out. “We’re now at around 25% to 30% of last year’s levels, with about 4,000 to 5,000 tourists entering daily”, the Ministry of Tourism said, “The tourists we’re seeing now are different from previous years. Most are faith-based visitors, such as Jews from the Diaspora, Catholics, evangelicals, and other Christian denominations. Many are coming in some form of volunteering or solidarity projects”.

After many airlines canceled flights to and from Israel, the Israel Airports Authority closed Terminal 1, the terminal used for low-cost flights. Last week, the terminal reopened for low-cost international flights. The Israel Airports Authority reported that the terminal will handle approximately 1,200 flights per month, carrying 200,000 passengers, with daily peaks of 6,500-7,000 passengers in July and August, a period during which many Israelis travel abroad for vacations.