Hotel prices soar amid tourism spike: The prices of hotel and resort accommodation are expected to rise by at least 35% y-o-y in 2023, with a 30% increase forecast for 2024, a government official involved with the industry reportedly told Asharq Business. Egypt’s growing popularity as a tourist destination has already pushed up the rate of room prices by 45% in some destinations, according to the news outlet.

Looking ahead: Hotel room prices in coastal areas will see another increase of no less than 10% from the start of 2024, said our friend Ibrahim El Messiri, CEO of Abu Soma Tourism Development Company, the developer and operator of Somabay. Rates in Nuweiba and Taba are expected to range between USD 120-150 by the end of the year, compared to USD 70-100 in the 1H 2023, thinks head of the region’s Tourist Investors Association Sami Suleiman. Mohamed Othman, board member of the Upper Egypt Hotel Chamber, predicts that room rates in Upper Egypt will grow by at least 50% from October. “The price increase will continue if demand continues to grow,” Othman said.

REMEMBER- Egypt welcomed a record 7 mn tourists in 1H 2023, up more than 40% y-o-y. Hotel occupancy rates across the country also jumped during the first half of the year, climbing to 80% from 65% during the same period last year.

AND- This comes after a summer in which Gulf visitors helped drive up prices for North Coast rentals to never-before-seen levels.

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