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Krakow, Prague, Budapest, New York, Malta, Costa Blanca, Sorrento, Jersey, Disneyland Paris, Orlando, Reykjavik: Top Destinations for Budget-Conscious Travelers in 2025

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Thursday, July 31, 2025

As the global cost-of-living crisis continues to squeeze wallets, travelers are increasingly prioritizing value-driven holidays without compromising on experience. Despite inflationary pressures, a new wave of tourism is emerging in 2025, with destinations like Krakow, Prague, Budapest, and Sorrento seeing a surge in bookings. Short-haul European city breaks are experiencing strong demand, and these affordable cities are topping travel lists, providing tourists with rich cultural experiences at a fraction of the price of mainstream destinations like New York or London.

According to recent booking data from Co-op Holidays, part of the Your Co-op Travel group, cities that offer historical charm, vibrant food scenes, and authentic experiences are proving to be the most resilient, even in uncertain times. The trend highlights the shift toward “intentional travel,” where people are not just looking for a getaway but an experience that adds value to their journey. This year, destinations like Krakow, Prague, and Budapest have entered the limelight, alongside tried-and-tested favorites like New York, Disneyland Paris, and Orlando.

Eastern European Gems: Krakow, Budapest, and Prague Lead the Way

Krakow, Poland’s cultural heart, has experienced an astounding 300% increase in bookings compared to last year, solidifying its place as one of the top destinations for 2025. Known for its historic old town, medieval architecture, and proximity to the Auschwitz-Birkenau Memorial, Krakow offers visitors a mix of poignant history and vibrant cultural experiences. The city’s affordability, with low accommodation costs and inexpensive dining, makes it an ideal choice for travelers on a budget. The city’s charm has made it a favorite for cultural tourists, offering everything from art galleries to concerts, as well as bustling markets and festivals.

Similarly, Budapest, Hungary’s capital, has also surged in popularity, entering the top 10 most-booked destinations for the first time. Known for its stunning architecture, thermal baths, and vibrant nightlife, Budapest offers visitors a unique blend of Eastern European charm and cosmopolitan flair. With its growing reputation as a budget-friendly destination, Budapest continues to attract travelers seeking an affordable European city break with plenty of cultural, historical, and culinary experiences.

Prague, often referred to as the “City of a Hundred Spires,” has long been a favorite among tourists. However, this year it has gained even more traction as travelers shift their focus away from more expensive Western European cities. With its fairy-tale-like architecture, charming streets, and rich history, Prague offers an unforgettable experience at an affordable price. Whether exploring the Old Town Square, crossing the Charles Bridge, or sampling traditional Czech beer, visitors can experience the best of European culture without the hefty price tag.

Mediterranean Appeal: Sorrento and Malta Shine as Hidden Gems

While Florence and Rome have traditionally been the main draw for Italian tourism, Sorrento has emerged as a rising star. Located on the Amalfi Coast, this picturesque town is offering tourists an authentic Italian experience without the crowds and high prices associated with other tourist-heavy spots. Sorrento serves as a perfect base for exploring the Amalfi Coast, Pompeii, and Naples, but its quaint charm, stunning coastal views, and great local cuisine make it a desirable destination in its own right. This shift towards “gateway towns” like Sorrento, offering better value and a more relaxed atmosphere, is becoming a notable trend in 2025.

Malta, with its Mediterranean charm and rich history, also made it into the top 10 list of popular travel destinations. With affordable flights, stunning coastal views, historic sites like Mdina and Valletta, and a strong local culture, Malta is quickly gaining recognition as an ideal destination for budget-conscious travelers. Whether visiting the UNESCO World Heritage-listed capital, diving in crystal-clear waters, or exploring the island’s ancient ruins, Malta offers excellent value for money, particularly for those seeking a blend of relaxation and exploration.

Iconic International Destinations: New York, Costa Blanca, and Disneyland Paris

New York, despite its high living costs, remains one of the most popular destinations for travelers in 2025. Its status as the entertainment and cultural capital of the world continues to attract visitors who seek to explore iconic landmarks like Times Square, Central Park, and Broadway. Although it is not typically regarded as a budget destination, the city’s range of free attractions, such as museums, parks, and outdoor events, makes it accessible for those looking to save on accommodation or dining. The key to enjoying New York on a budget is strategic planning, which includes booking tickets in advance and utilizing free city tours.

Costa Blanca in Spain, known for its stunning beaches, beautiful coastline, and vibrant nightlife, has also emerged as a top destination in 2025. It provides an excellent option for those seeking an affordable holiday in the Mediterranean. With a variety of accommodations and activities to suit all budgets, Costa Blanca is drawing tourists looking for a relaxing beach getaway without breaking the bank.

Disneyland Paris, ever-popular for families, continues to be a top choice for those seeking a mix of entertainment, magic, and nostalgia. Though often seen as an expensive destination, many visitors are finding ways to experience the park at a lower cost by visiting during off-peak times, taking advantage of hotel packages, and exploring outside the park.

Family-Friendly Getaways: Jersey and Orlando

For families looking for a more budget-friendly holiday in 2025, Jersey, the largest of the Channel Islands, offers a charming blend of beaches, outdoor activities, and rich heritage. With its proximity to the UK and affordable accommodation options, Jersey is an excellent destination for families who want to avoid long-haul travel while still enjoying a scenic and relaxing getaway.

Orlando, Florida, remains a perennial favorite for families thanks to its world-class theme parks, including Walt Disney World and Universal Studios. While the cost of theme park tickets can add up quickly, there are plenty of budget-friendly activities in Orlando, including water parks, outdoor adventures, and free attractions like the Disney Springs shopping district.

Rising Trends: Sustainability and Intentional Travel

The demand for budget-friendly destinations is not just about saving money; it also reflects a broader shift toward intentional travel. More travelers are seeking authentic experiences, with a focus on local culture, sustainable tourism, and off-the-beaten-path destinations. In this context, destinations like Krakow, Budapest, and Sorrento provide a unique combination of cultural immersion, natural beauty, and affordability, making them highly attractive to conscious travelers who prioritize meaningful experiences over luxury.

This shift toward sustainable, experience-driven travel is reflected in the increasing popularity of heritage walks, local food tours, and eco-friendly accommodations. Travelers are seeking destinations that align with their values, where they can contribute to the local economy while experiencing something authentic and enriching.

Economic Impact: Boosting Local Economies and Job Creation

The rise in demand for these budget-friendly destinations is having a tangible impact on local economies. Cities like Krakow, Prague, and Budapest, which have long been regarded as hidden gems, are now benefiting from an influx of visitors who contribute to local businesses, including restaurants, shops, and transportation services. The growing popularity of these destinations also creates job opportunities in hospitality, tourism, and local services.

In Spain and Italy, regions like Costa Blanca and Sorrento are seeing a rise in tourism that is spreading the economic benefits beyond the well-known tourist cities. Local businesses in these towns are thriving as more visitors seek out authentic experiences, from vineyard tours to local craft markets. By focusing on providing unique experiences at an affordable price, these regions are benefiting from the broader trends in the tourism industry.

Conclusion: A New Era of Travel

The rising popularity of destinations like Krakow, Budapest, Sorrento, and Jersey marks the dawn of a new era in tourism, where travelers prioritize authenticity, cultural immersion, and value. Despite the ongoing challenges posed by economic uncertainty, the tourism industry has proven its resilience by adapting to new trends and offering more affordable and sustainable travel options.

For travelers, the key takeaway is that a fulfilling travel experience does not have to come at a high price. With careful planning and a focus on lesser-known destinations, travelers can explore the world in meaningful and affordable ways. As these budget-friendly destinations continue to rise in popularity, they offer exciting opportunities for both tourists and local communities, creating a more inclusive and diverse tourism landscape.



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PCT SOBO DAY 28 – A Sluggish Day

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Day 28

Start: Stealth Site, mile 443.7

End: Tentsite, mile 470.5

Miles hiked: 21.6 miles, 26.8 trail miles

 

After our headache of a night last night, Sun and I slept in a bit and didn’t leave camp until around 7:30. The mosquitoes were a bit better this morning; they didn’t attack us with as much fervor as yesterday, even when we stopped for water at a lake.

The lake, Junction Lake, was such a serene place. Little baby ducks swam in groups across the water while the morning sun warmed the air. At one point, the mother duck came squawking in, flying this way and that way across the pond, throwing water in all directions. I’m not quite sure what the drama was about, something to do with the baby ducks, but eventually it was resolved since the squawking stopped.

This morning, Sun and I were moving pretty slowly. We were both tired from the night before. My pack felt unusually heavy and I missed the spring I had in my step on that first day out of town. A couple of miles later we reached Blue Lake, but it was a bit too early, cool, and windy for a swim. It was a beautiful spot though. The NOBOs we passed said it was an excellent swimming spot.

Sun and I climbed slowly up, taking a lot of breaks, almost one every 1.5-2 miles, which wasn’t really our style. I guess we had bitten off more than we could chew yesterday. We topped our climb of the morning and enjoyed the snippets of cell service and the warmth of the sun.

Then it was miles of downhill, passing a few NOBOs on the way. Our progress was further slowed by the huckleberries that lined the trail; I got a bit behind because they were so good!

We finally reached a parking lot with picnic tables and a pit toilet and decided it was the perfect place for lunch. Sun was hoping that we would find trail magic again, but no such luck despite all the cars that passed by on the gravel road. Lunch felt a bit more civilized this time since we had real tables to eat at instead of a bare patch of ground. Out big debate was whether to continue 12 miles on the trail to reach our goal campsite or take the 10.5 Panther Creek road walk alternate. If we walked the trail, we would have to climb with a long water carry and dry camp. But if we took the road, we could save a few miles and camp with water. We couldn’t decide what to do, so we decided to leave it for after our lunchtime rest.

Sun allocated 30 minutes for a nap while I relaxed in the shade. When nap time was up, our answer was clear: the road walk!

As we started down the road, we were immediately sidetracked by all of the big, juicy huckleberries that lined the road. We lost at least 30 minutes because there were so many to pick. We also found blackberries that tasted like candy. Yum!

As we walked, cars passed in either direction, but we still didn’t find the magic we had hoped for.

After a number of miles and a number of breaks, we reached Panther Creek Falls, one of the attractions of this alternate. A quick detour, they were worth the walk. Eventually, we were pooped and more than ready to be done with our long day. As we passed the Panther Creek Campsite, full of casual hikers and campers, the smell of hot hamburgers wafted over to us. If only we could have one!

After a few more minutes, we found our site and squeezed our tents in with a couple who were almost done with their section. After dinner, we had just enough time to get a few camp chores done before the daylight started to fade.

And that’s a day in the life of a PCT SOBO hiker!

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Japanese travelers losing interest in Kyoto, top sightseeing spots slip behind Nara at peak season

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Kyoto may be the historical heart of traditional Japanese culture, but current conditions are making it a less attractive placer for locals to visit.

Aside from maybe Tokyo, there’s no other city with more of a “must-visit” reputation than Kyoto for travelers to Japan, who flock to the country’s former capital to tour its historic temples, beautiful gardens, and otherwise get a glimpse of Japanese traditional culture. For a growing number of Japanese travelers vacationing in their home country, however, Kyoto is becoming a city they feel like they can leave off their itinerary.

Tokyo-based data/research organization Blogwatcher recently released the results of its analysis of travel patterns during Japan’s 2025 Golden Week holiday season, which straddled the end of April and beginning of May. Examining mobile phone location data, Blogwatcher determined that there were significant drop-offs in the number of Japanese visitors to five of Kyoto’s most famous sightseeing spots compared to just two years prior. Japanese visitors to Fushimi Inari Shrine plummeted by 40.4 percent compared to 2023, and both Kiyomizudera Temple and Kinkakuij/the Golden Pavillion’s numbers of Japanese visitors fell by roughly 25 percent. Shimogamo Shrine and Byodoiin Temple both had slight upticks in Japanese visitors in 2024, but reversed course in 2025 and had approximately 10 percent fewer domestic visitors than they’d had at Golden Week in 2023.

▼ Byodoin’s Phoenix Hall is so famous that it’s even depicted on the 10-yen coin.

It’s not hard to imagine what’s discouraging Japanese travelers from visiting Kyoto. The weak yen continues to make Japan more affordable for foreign travelers to visit than it’s been in a generation, and with so many of them including Kyoto in their Japan travel plans, the city’s attractions are crowded and its hotels expensive. The Kyoto Tourism Association’s data shows that through the first five months of this year, the average price per night for a stay in a Kyoto hotel is around 50 percent more than it was just two years ago. Those cost increases are relatively easy for inbound foreign visitors to soak up as they leverage the favorable exchange rate, but for Japanese travelers, who are already getting hit in the wallet by rapidly increasing consumer prices without equivalent wage increases, the idea of paying inflated prices to go someplace clogged with tourists is no doubt feeling like a less enjoyable way to spend their diminished disposable income.

However, as Kyoto is looking like a less attractive destination for Japanese travelers, they’re becoming more drawn to Nara. Blogwatcher tracks domestic visitor numbers for 33 of Kyoto Prefecture’s top temples, shrines, and historical tourism sites, and 37 in Nara Prefecture. During Golden Week in 2023, Japanese travelers showed an overwhelming preference for Kyoto, with its top sights receiving nearly 70 percent more Japanese visitors than Nara’s. In 2025, though, more Japanese travelers visited Nara’s major sights than Kyoto’s.

Japanese visitors to major temples, shrine, and historic sites during Golden Week
● Kyoto 2023: 746,000
● Nara 2023: 446,00

● Kyoto 2025: 559,000
● Nara 2025: 561,00

It could be argued that Japan is still in the middle of the initial wave of its inbound tourism boom. Residual pent-up international travel demand and the weak yen are doing a lot to make the country a trendy and affordable choice for visitors from abroad, but it’s still not entirely clear whether their intense interest is going to be permanent. As a result, it’s likewise too early to say whether huge crowds and high prices have turned Japanese people off to the idea of traveling to Kyoto entirely, or if they’re simply putting their Kyoto plans on the back burner for the time being. After all, if the shrines and temples you’re going to see are already centuries old, holding back for a year or two to see if the tourism congestion has settled down doesn’t seem like all that long of a wait. For the time being, though, it really does look like Japan’s travelers aren’t nearly as excited about the idea of visiting Kyoto as they were just a short while ago.

Source: TBS Cross Dig with Bloomberg via Golden Times
Top image: Pakutaso
Insert image: Pakutaso
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Red Hat Communications Joins Hands with Classic Destinations to Boost Sri Lanka Tourism in India

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Strategic partnership aims to promote Sri Lanka as a top travel destination through roadshows and targeted campaigns across Indian cities

In a move to strengthen tourism ties between India and Sri Lanka, Red Hat Communications has partnered with Sri Lanka’s leading travel company, Classic Destinations, to launch a major promotional campaign targeting Indian travellers. The initiative will roll out across Tier-1 and Tier-2 cities, aiming to position Sri Lanka as a year-round, culturally rich, and adventure-filled holiday destination.

The multi-city roadshow campaign will spotlight Sri Lanka’s beaches, tea estates, wildlife, temples, and heritage sites, appealing to Indian outbound travelers looking for short-haul international escapes. The initiative includes B2B networking events, influencer collaborations, destination training for travel agents, and partnerships with airlines and hotels.

Jyoti Mayal, CEO of Red Hat Communications, stated, “Sri Lanka is an all-season travel gem. Our strong regional teams across India will work closely with Classic Destinations to drive interest, generate bookings, and support travel agents with revenue opportunities.”

Chalaka Gajabahu, Head of Classic Destinations, added, “Indian travelers are seeking authentic and diverse experiences. We are excited to collaborate with Red Hat Communications to curate memorable travel packages tailored to Indian preferences.”

The first phase of the campaign will kick off in Delhi, Mumbai, Kolkata, and Chennai, followed by Bengaluru, Hyderabad, Ahmedabad, and Jaipur.

The partnership is expected to significantly boost Indian arrivals to Sri Lanka and support the island nation’s post-pandemic tourism recovery through innovative, on-ground, and digital marketing strategies.



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