Israel’s tourism revenue plunged $6.5 billion in 2024

Despite signs of recovery, Israel’s tourism sector faces a long road back from losses caused by war, travel warnings, and flight cancellations.

By World Israel News Staff

The Israeli tourism industry suffered some $23 billion ($6.5 billion) in losses in 2024, as visitors avoided the Jewish state due to the ongoing Swords of Iron war.

According to a report from Israel Hayom, 2024 was marked by a huge drop in international tourists, sending a diverse range of businesses, including hotels, restaurants, and tour companies, into serious financial trouble.

In April 2024, only 284,000 tourists landed in Israel – down from 1.2 million during the same month in 2023.

While April 2025 saw an improvement, with some 430,000 international tourists, that figure is still dramatically less than the pre-war era.

“The lack of flights and [government-issued] travel warnings to Israel were and still are the biggest obstacles to international tourism,” Tourism Minister Haim Katz told Israel Hayom.

“We are lobbying to cancel the travel warnings and increase the supply of flights,” Katz said, adding that millions of shekels were allocated toward renovating hotels that previously housed Israelis displaced from the north and south during the war.

However, another major factor crippling businesses in Israel was a steep drop in domestic tourism. Due to near-daily rocket fire on Israel’s southern and northern regions, along with sporadic attacks on central Israel, many Israelis did not venture far from home in 2024.

“People were afraid to leave the house, especially in the north,” said Oded Strauss, a restauranteur with holdings in several major Israel eateries.

“Now, business is gradually returning, but not to the level it was before,” he added.

Nightlife has also taken a major hit, with international revelers gone and locals not in the mood to party.

“We used to host DJs from around the world,” said Or Vaknin, who owns the Hive Rooftop bar in Tel Aviv, adding that many of his patrons were foreign tourists.

“Now the picture is completely different. The war and the security situation have driven the tourists away,” Vakinin told Israel Hayom. “Even the local crowd, who are struggling with the high cost of living, the recession, and low spirits, are going out much less.”