{"id":554251,"date":"2021-12-27T03:59:32","date_gmt":"2021-12-27T03:59:32","guid":{"rendered":"https:\/\/enterpriseam.com\/egypt\/2021\/12\/27\/2021-the-year-of-a-recovering-tourism-sector\/"},"modified":"2021-12-27T03:59:32","modified_gmt":"2021-12-27T03:59:32","slug":"2021-the-year-of-a-recovering-tourism-sector","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/egypt\/2021\/12\/27\/2021-the-year-of-a-recovering-tourism-sector\/","title":{"rendered":"2021: The year of a recovering tourism sector"},"content":{"rendered":"

<\/a> Tourism has been <\/strong>slowly recovering<\/a><\/strong> over the past year, driven by the lifting of travel restrictions worldwide <\/strong>and mass vaccination programs at home and abroad. A number of key tourism markets lifted covid-19 travel restrictions, including the UK, which took us off the red list last month<\/a>. Only a month after we were taken off the UK\u2019s red list, bookings to Egypt and Turkey from the UK have soared 400% since our removal from the red list. In July, Russia finally lifted its six-year ban<\/a> on direct flights between Russia and Egypt\u2019s Red Sea destinations. Last month we started welcoming Russian tourists<\/a> into the country once again after Moscow resumed charter flights between Russia and Hurghada and Sharm El Sheikh after<\/p>\n

The government continued to give the sector a helping hand<\/strong>, with the central bank extending the Opex program \u2014 an initiative giving operators access to 5% interest loans to cover wages, maintenance expenses, and operating costs \u2014 until 31 December. And in a sign that the sector is indeed in recovery, CBE stimulus for capex was launched in May<\/a>. Under the program, subsidized loans designed to help tourism companies fund capex can now cover up to 90% of a project\u2019s renovation costs, up from 75% under the ongoing EGP 50 bn tourism support program.<\/p>\n

Hotel operators then got a major boost <\/strong>back in October<\/a><\/strong>,<\/strong> when the government allowed them to operate at full capacity for the first time in 18 months. Hotels have been operating at 70% capacity since July, when the government eased the 50% limit imposed since June 2020. The Tourism Ministry is also launching a three-year international promotional campaign<\/a>, while the Madbouly Cabinet is looking to hiring tourism operators<\/a> to manage a number of tourism facilities and services at key landmarks.<\/p>\n

This has done wonders for our arrival numbers:<\/strong> While we have no recent data on arrivals, around 3.5 mn tourists visited<\/a> the country during 1H2021, which is around the same number who visited during all of 2020. Arrivals averaged 400k per month<\/a> during the first five months of the year, which is nearly 40% of pre-pandemic figures. At the time, around 60% came from Eastern Europe. And this was before Russia lifted its flight ban.<\/p>\n

\u2026Not to mention revenues: <\/strong>While tourism revenues dropped by half during FY2020-21 (which ended last June) to record USD 4.9 bn, according to the CBE\u2019s most recent balance of payments report<\/a>, quarterly data shows that we are nearing pre-pandemic levels. 2Q2021 saw tourism revenues reach USD 1.7 bn, up from USD 305.0 mn in 2Q2020, and up from USD 986.5 mn in 4Q2020<\/a>. Tourism Minister Khaled El Enany had said back in May<\/a> that tourism revenues are expected to reach somewhere between USD 6 bn and USD 9 bn in FY2021, up from USD 4.4 bn last year.<\/p>\n

Then just as we started to breathe a sigh of relief, along came Omicron: <\/strong>Late November and early December gave us major deja vu with Egypt being put on a number of no-fly lists by countries including Canada and Ecuador<\/a> following the emergence of the Omicon variant. Canada has since lifted its ban<\/a>.<\/p>\n

But the sector seems to be unaffected (so far): <\/strong>Travel to tourism hotspots were largely unaffected<\/a> by recently introduced travel restrictions. Average occupancy rate at hotels across the Red Sea \u2014 in Sharm El Sheikh and Hurghada \u2014 are expected to reach 70-75% by the end of 2021, while Sinai hotels could end the year with an average occupancy rate of 55-60%, Al Borsa<\/a> says, citing unnamed government officials.<\/p>\n

And we\u2019re looking to rollout boosters: <\/strong>Registration for booster shots<\/a> for at-risk Egyptians kicked off earlier this month. As of last week a total of 400k qualified individuals were contacted to receive<\/a> their booster shots. The Health Ministry is aiming<\/a>to administer 23 mn booster shots by 1H2022.<\/p>\n","protected":false},"excerpt":{"rendered":"

Tourism has been slowly recovering over the past year, driven by the lifting of travel restrictions worldwide and mass vaccination programs at home and abroad. A number of key tourism markets lifted covid-19 travel restrictions, including the UK, which took us off the red list last month. Only a month after we were taken off […]<\/p>\n","protected":false},"author":1,"featured_media":554252,"comment_status":"closed","ping_status":"open","sticky":false,"template":"single-feature.php","format":"standard","meta":{"_acf_changed":false,"newspack_ads_suppress_ads":false,"newspack_popups_has_disabled_popups":false,"newspack_sponsor_sponsorship_scope":"","newspack_sponsor_native_byline_display":"inherit","newspack_sponsor_native_category_display":"inherit","newspack_sponsor_underwriter_style":"inherit","newspack_sponsor_underwriter_placement":"inherit","ep_exclude_from_search":false,"_primary_brand":0,"newspack_featured_image_position":"","newspack_post_subtitle":"","newspack_article_summary_title":"Overview:","newspack_article_summary":"","newspack_hide_updated_date":false,"newspack_show_updated_date":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[8970],"tags":[107,72,259,238,113,3134],"brand":[],"newspack_spnsrs_tax":[],"class_list":["post-554251","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-year-in-review-tourism-2","tag-covid-19","tag-enterpriseam","tag-health-ministry","tag-tourism","tag-vaccines","tag-year-in-review-tourism","wpautop","entry"],"acf":{"mongo_id":"2f6b025d-8ac4-419e-862c-870ce406ae4b","is_powered_by":true,"story_type":"1","photo_url":"https:\/\/ent.news\/2021\/12\/496.jpg","photo_position":"above","related_issue":[554232],"teaser":"","voice_url":""},"yoast_head":"\n2021: The year of a recovering tourism sector - EnterpriseAM Egypt<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/enterpriseam.com\/egypt\/2021\/12\/27\/2021-the-year-of-a-recovering-tourism-sector\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"2021: The year of a recovering tourism sector\" \/>\n<meta property=\"og:description\" content=\"Tourism has been slowly recovering over the past year, driven by the lifting of travel restrictions worldwide and mass vaccination programs at home and abroad. 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Revenues smashed records in 2019, taking USD 13 bn over the course of the year,\u2026","rel":"","context":"In "SPEED ROUND: TOURISM"","block_context":{"text":"SPEED ROUND: TOURISM","link":"https:\/\/enterpriseam.com\/egypt\/category\/speed-round-tourism\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2021\/3\/515.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":554058,"url":"https:\/\/enterpriseam.com\/egypt\/2021\/12\/19\/you-can-now-buy-tickets-to-visit-the-pyramids-online\/","url_meta":{"origin":554251,"position":3},"title":"You can now buy tickets to visit the pyramids online","author":"enterpriseam admin","date":"19 December 2021","format":false,"excerpt":"e-Finance\u2019s e-commerce and tourism platform e-Aswaaq has set up the online portals to buy entry tickets for the Giza Pyramids, as well as several electronic gates at the entrance of the plateau, according to a statement picked up by Al Borsa. This comes almost three months after e-Aswaaq kicked off\u2026","rel":"","context":"In "Tourism"","block_context":{"text":"Tourism","link":"https:\/\/enterpriseam.com\/egypt\/category\/data\/tourism\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2021\/12\/386.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":565692,"url":"https:\/\/enterpriseam.com\/egypt\/2021\/04\/25\/egypt-targets-usd-6-7-bn-in-2021-tourism-revenues\/","url_meta":{"origin":554251,"position":4},"title":"Egypt targets USD 6-7 bn in 2021 tourism revenues","author":"enterpriseam admin","date":"25 April 2021","format":false,"excerpt":"Egypt expects to see tourism revenues of USD 6-7 bn in 2021, with tourist arrivals recovering to 60% of 2019 levels, Deputy Tourism Minister Ghada Shalaby told Reuters. This is a slightly ambitious target, as around 500k tourists visited Egypt in the first two months of 2021, generating USD 600-800\u2026","rel":"","context":"In "SPEED ROUND: TOURISM"","block_context":{"text":"SPEED ROUND: TOURISM","link":"https:\/\/enterpriseam.com\/egypt\/category\/speed-round-tourism\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/internal\/536550.png?resize=350%2C200&ssl=1","width":350,"height":200},"classes":[]},{"id":556219,"url":"https:\/\/enterpriseam.com\/egypt\/2021\/10\/17\/egypts-balance-of-payments-flips-to-surplus-in-2020-2021-current-account-deficit-rises\/","url_meta":{"origin":554251,"position":5},"title":"Egypt\u2019s balance of payments flips to surplus in 2020-2021, current account deficit rises","author":"enterpriseam admin","date":"17 October 2021","format":false,"excerpt":"Egypt\u2019s balance of payments flipped to a surplus of USD 1.9 bn in the state fiscal year ending 30 June 2021, compared with a deficit of USD 8.6 bn in the previous fiscal year, when the early days of the covid-19 pandemic wiped out tourism and slowed global trade. \u201cThis\u2026","rel":"","context":"In "Economy"","block_context":{"text":"Economy","link":"https:\/\/enterpriseam.com\/egypt\/category\/economy\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2021\/10\/174.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]}],"_links":{"self":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/posts\/554251","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/comments?post=554251"}],"version-history":[{"count":0,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/posts\/554251\/revisions"}],"acf:post":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/issue\/554232"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/media\/554252"}],"wp:attachment":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/media?parent=554251"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/categories?post=554251"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/tags?post=554251"},{"taxonomy":"brand","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/brand?post=554251"},{"taxonomy":"newspack_spnsrs_tax","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/newspack_spnsrs_tax?post=554251"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}