Boston, MA -- (ReleaseWire) -- 01/08/2014 -- BMI's Egypt Tourism Report analyses the investment potential which Egypt offers to large tourist industries - particularly global hotel groups - as they seek to harness the growth opportunities being offered by the local market over the long term. However, over the short term, still-high political risk will continue to act as a clear suppressant to tourism demand.
Looking at recent indicators from the sector, Q313 arrivals proved every bit as bad as BMI had feared, with July, August and September all seeing significant falls in tourist arrivals year-on-year (y-o-y). We believe the tourism sector currently stands at its lowest point since February 2011, although we are cautiously optimistic that Q413 should mark a short-term low point for the industry.
View Full Report Details and Table of Contents
According to the latest data from Egypt's Central Agency for Public Mobilization and Statistics (CAMPAS), 301,150 tourists visited Egypt in September 2013, representing a 69.4% y-o-y decline. This follows a 24.5% decline in tourist arrivals for July and a 45.6% fall in arrivals for August. The September 2013 arrivals figure marked the lowest level since the overthrow of President Hosni Mubarak. Given that industry accounts for around 10% of the country's GDP and employs a similar share of the population, as well as being a vital source of dollars into the country, these figures are depressing for the country's economic outlook.
Looking forward, BMI's Country Risk team believes the worst of Egypt's tourism crisis may now be over and that an improving political outlook will lead to increased tourist numbers, although the effect will be somewhat lagged, as tourists tend to plan holidays in advance. However, with the interim Prime Minister Hazem Beblawi stating in late November 2013 that a referendum on an amended constitution is likely to take place in January 2014, there is clearly the risk that political tensions may flare up in the run-up to the vote. Even if this vote can pass off peacefully, there are then fresh presidential and parliamentary elections due to be scheduled for H114, meaning there may not be a substantial reduction in political risk over the coming six months.
About Fast Market Research
Fast Market Research is an online aggregator and distributor of market research and business information. Representing the world's top research publishers and analysts, we provide quick and easy access to the best competitive intelligence available. Our unbiased, expert staff will help you find the right research to fit your requirements and your budget. For more information about these or related research reports, please visit our website at http://www.fastmr.com or call us at 1.800.844.8156.
Browse all Consumer Goods research reports at Fast Market Research
You may also be interested in these related reports:
- Oman Tourism Report Q1 2014
- Brazil Tourism Report Q1 2014
- Chile Tourism Report Q1 2014
- Japan Tourism Report Q1 2014
- Russia Tourism Report Q1 2014
- Costa Rica Tourism Report Q1 2014
- Thailand Tourism Report Q1 2014
- Kenya Tourism Report Q1 2014
- Vietnam Tourism Report Q1 2014
- Romania Tourism Report Q1 2014