Red Sea attacks decrease Suez Canal revenues by 50%: Planning Minister – Egypt Today

Red Sea attacks decrease Suez Canal revenues by 50%: Planning Minister – Egypt Today

CAIRO - 28 April 2024: Minister of Planning and Economic Development, Hala El-Said, revealed that Suez Canal revenues have experienced a decline of 50 percent due to tensions in the Red Sea, in the special meeting of the World Economic Forum (WEF).

 

In 2023, revenues reached $10 billion, but in 2024, there was a sharp drop as numerous ships opted to divert through the Cape of Good Hope to avoid attacks in the Red Sea. 

This decline is expected to impact Egypt's foreign currency earnings and contribute to the rise in food and energy prices.

 

Additionally, Minister El-Said reiterated Egypt's possession of the necessary infrastructure to facilitate the entry of international businesses into markets across Africa, the Middle East, and Europe.

 

 Egypt is actively overseeing the implementation of 80 port projects, with a total investment of LE 129 billion, in collaboration with 100 private sector companies.

 

It is worth mentioning that Egypt aims to increase the private sector's contribution to the national economy to 65 percent by 2026, with the current percentage approaching 42 percent and expected to reach 50 percent in the fiscal year 2024/2025, according to Minister El-Said.

 

 In February, Chairman of the Suez Canal Authority, Osama Rabie, disclosed that revenues had declined by 46