BUSINESS

Costa Navarino, a catalyst for Messinia region’s economy

STATHIS KOUSOUNIS

TAGS: Business, Tourism, Economy

The total economic effect of the operation of the Costa Navarino luxury resort in the southern Peloponnese from the start of construction in 2006 to the present is estimated at around 1 billion euros, according to a recent study on the benefits of Costa Navarino on the local economy of the Messinia region.

Based on the findings of the study, the airport of the regional capital Kalamata is one of the fastest growing in the country thanks to the resort. With 1,100 flights scheduled this year, it has increased traffic by 370 percent compared with 2009. In regard to passengers, 86.5 percent stay at local hotels and small accommodation units around the Peloponnese, while 13.5 percent stay at Costa Navarino.

The resort’s owner, TEMES SA, has invested more than 3.5 million euros in a campaign to attract foreign carriers. This initiative has helped extend the tourism season, as international flights arrive at and depart from Kalamata Airport from February through November.

Direct revenues from visitors to Messinia this year are expected to reach 17.5 million euros, with the secondary effect on the local economy estimated at 28.8 million euros.

The study has calculated that for every euro spent at Costa Navarino, 1.65 euros is spent outside the resort. Also, local businesses earn around 2.25 million euros from the around 75,000 meals served annually to Costa Navarino’s guests, while 60 percent of the resort’s supplies come from local producers and businesses in Messinia.

The company has organized educational seminars for restaurateurs, hoteliers and other tourism-related businesses, counting 450 participants so far, while 40 local businessmen have attended trips organized by the company to other destinations in order to tutor locals on good practices.

Furthermore, TEMES has spent more than 11 million euros on infrastructure that benefits the entire region, such as water management facilities, roads and so on.

Last, but not least, the company invests 10 percent of its overall budget in the protection of the environment, while 90 percent of the overall expanse that Costa Navarino covers has been left unbuilt.

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