Back to the complete issue
Tuesday, 26 April 2016

Tourism revenues down to USD 500 mn in 1Q2016, Putin says we have a ways to go until Russian flights resume

Tourism revenues down 66.7% y-o-y in 1Q2016… Tourism revenues hit just over USD 500 mn down from USD 1.5 bn a year earlier, economic adviser to the Tourism Ministry Adla Ragab told Reuters, with just 1.2 mn tourists coming to Egypt in the same quarter, down from 2.2 mn a year earlier. While tourism revenues had taken a hit since the ouster of former President Hosni Mubarak in 2011, it was the Metrojet crash last October that dealt the final blow to the industry after Russia halted flights to Egypt and several other nations cut off flights to Sharm El Sheikh. Egypt is looking to bring in 12 mn tourists by the end of 2017 “through a plan that includes increasing the presence of national carrier EgyptAir abroad,” tourism minister Yehia Rashed said in a recent interview with Reuters.

…and there’s no light at the end of the tunnel: Russian President Vladimir Putin believes Egyptian authorities still have “a lot to do” to secure Russian tourists in the country, he said on Monday at a meeting of the All-Russia People’s Front, according to Sputnik. “For resuming flights to Egypt, there is a need to find the way of checking passengers, luggage and food onboard jointly with the country’s authorities to ensure security of Russians,” TASS reported Putin as saying on 14 April.

Enterprise is a daily publication of Enterprise Ventures LLC, an Egyptian limited liability company (commercial register 83594), and a subsidiary of Inktank Communications. Summaries are intended for guidance only and are provided on an as-is basis; kindly refer to the source article in its original language prior to undertaking any action. Neither Enterprise Ventures nor its staff assume any responsibility or liability for the accuracy of the information contained in this publication, whether in the form of summaries or analysis. © 2022 Enterprise Ventures LLC.

Enterprise is available without charge thanks to the generous support of HSBC Egypt (tax ID: 204-901-715), the leading corporate and retail lender in Egypt; EFG Hermes (tax ID: 200-178-385), the leading financial services corporation in frontier emerging markets; SODIC (tax ID: 212-168-002), a leading Egyptian real estate developer; SomaBay (tax ID: 204-903-300), our Red Sea holiday partner; Infinity (tax ID: 474-939-359), the ultimate way to power cities, industries, and homes directly from nature right here in Egypt; CIRA (tax ID: 200-069-608), the leading providers of K-12 and higher level education in Egypt; Orascom Construction (tax ID: 229-988-806), the leading construction and engineering company building infrastructure in Egypt and abroad; Moharram & Partners (tax ID: 616-112-459), the leading public policy and government affairs partner; Palm Hills Developments (tax ID: 432-737-014), a leading developer of commercial and residential properties; Mashreq (tax ID: 204-898-862), the MENA region’s leading homegrown personal and digital bank; Industrial Development Group (IDG) (tax ID:266-965-253), the leading builder of industrial parks in Egypt; Hassan Allam Properties (tax ID:  553-096-567), one of Egypt’s most prominent and leading builders; and Saleh, Barsoum & Abdel Aziz (tax ID: 220-002-827), the leading audit, tax and accounting firm in Egypt.