Extra costs for holidaymakers to Greece who find themselves stuck due to strikes or natural disasters will be paid by the government.
Tourism minister Pavlos Geroulanos unveiled the offer as part of measures designed to stem a slump in tourists in the wake of industrial unrest, protests over government cuts and the Icelandic ash cloud which grounded flights to the country.
An online drive to promote Greece as a tourist destination is also planned as the country prepares for the peak summer season.
Geroulanos said tourism appeared to be recovering but it was too early to make accurate forecasts.
“We are guaranteeing to pay any extra room and board any visitor in Greece pays even if stuck here because of a volcano in Iceland,” he said.
“The numbers are not really as gloomy as they were with the first cancellations,” he told a press conference.
“Some destinations have suffered greatly due to the crisis, but others are doing better than before.”
The Greek government is imposing a raft of austerity measures in return for a 110 billion euro (£95 billion) bail-out from the EU and IMF.
Protests against the cuts have brought the country to a standstill on a number of occasions, shutting airports, roads and railways.