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Tourists remain loyal to Greece

kosTravel associations in the UK, France and even Germany say that bookings for holidays in Greece have been strong and that they have not had cancellations.

There is evidence to suggest that people may be being lured by the idea of cheaper-than-ever prices. German travel search site Kayak.de said hotel prices for this week were down 8% over last year, while Skyscanner in the UK said some return flights in July could be had for just £79.

Searches for flights to Greece from Britain increased by 12% in June, according to travel search engine Skyscanner, while bookings for July and August went up by 14%

Greece remains popular with holidaying Germans."We are still taking bookings for Greece and there is no change in the levels," said a spokesman for Thomas Cook in Germany.

This was seconded by the DRV travel association DRV which said bookings since May had risen strongly.

"This shows that Germans are not being put off by the headlines on the financial crisis," the association said.

One French tour operator reported that its hotels and flights were already close to full.

Interest among Spaniards also perked up, with flight searches up by 20% last week.

Some 22 million people visited Greece last year, with tourism comprising 18% of the economy.

"It is currently very much business as usual. We have had no reports of shortages, food, medical or otherwise in resorts," a spokeswoman for British travel association ABTA said.

Tourists are advised to take plenty of cash in small denominations.

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