By using this site, you agree to the Privacy Policy and Terms of Use.
Accept
DailynewsegyptDailynewsegypt
  • Home
  • Business
    BusinessShow More
    As Egypt decides to establish tourist chambers, federation, what is in it for tourism industry?
    As Egypt decides to establish tourist chambers, federation, what is in it for tourism industry?
    June 6, 2023
    FRA extends deadline for electing Egyptian federation for securities’ board for 3 months
    FRA extends deadline for electing Egyptian federation for securities’ board for 3 months
    June 6, 2023
    New MoU signed to develop SMEs in industrial zone in East Port Said
    New MoU signed to develop SMEs in industrial zone in East Port Said
    June 6, 2023
    CI Capital records revenues of EGP 1.6bn in 1Q 2023
    CI Capital records revenues of EGP 1.6bn in 1Q 2023
    June 6, 2023
    International Conference of Institute of National Planning discusses various types of governance
    International Conference of Institute of National Planning discusses various types of governance
    June 6, 2023
  • Politics
    PoliticsShow More
    Arab League calls on Security Council to shoulder its responsibilities, oblige Israel to end occupation
    Arab League calls on Security Council to shoulder its responsibilities, oblige Israel to end occupation
    June 5, 2023
    Institute of Diplomatic Studies holds training course for diplomats from South Sudan
    Institute of Diplomatic Studies holds training course for diplomats from South Sudan
    June 5, 2023
    Al-Sisi participates in African meeting on mediation in Russian-Ukrainian crisis
    Al-Sisi participates in African meeting on mediation in Russian-Ukrainian crisis
    June 5, 2023
    Washington, Riyadh call for new ceasefire agreement in Sudan
    Washington, Riyadh call for new ceasefire agreement in Sudan
    June 5, 2023
    Ugandan president says 54 peacekeepers killed in Somalia deadly attack
    Ugandan president says 54 peacekeepers killed in Somalia deadly attack
    June 5, 2023
  • Interviews
    InterviewsShow More
    EFG Finance to launch unified platform gathering all its financing services: Alaa Al-Afifi
    EFG Finance to launch unified platform gathering all its financing services: Alaa Al-Afifi
    May 31, 2023
    I changed my artistic path to create ‘state of wonder’: Tarek Lotfi
    I changed my artistic path to create ‘state of wonder’: Tarek Lotfi
    May 25, 2023
    I adore Ramadan drama, ‘Telt Al-Talata’ series achieved great success: Ghada Abdel Razek
    I adore Ramadan drama, ‘Telt Al-Talata’ series achieved great success: Ghada Abdel Razek
    May 8, 2023
    We aim to establish Egypt as nearshore centre for Software AG for MET region: Rami Kichli
    We aim to establish Egypt as nearshore centre for Software AG for MET region: Rami Kichli
    April 29, 2023
    Egypt-Spain relations witness remarkable development in recent years: Spanish ambassador in Cairo
    Egypt-Spain relations witness remarkable development in recent years: Spanish ambassador in Cairo
    April 18, 2023
  • Culture
  • Opinion
  • Sports
  • Lifestyle
Reading: Tourism needs support based on clear plan from state: Balbaa
Share
Notification
Latest News
As Egypt decides to establish tourist chambers, federation, what is in it for tourism industry?
As Egypt decides to establish tourist chambers, federation, what is in it for tourism industry?
Tourism
FRA extends deadline for electing Egyptian federation for securities’ board for 3 months
FRA extends deadline for electing Egyptian federation for securities’ board for 3 months
Business
New MoU signed to develop SMEs in industrial zone in East Port Said
New MoU signed to develop SMEs in industrial zone in East Port Said
Business
CI Capital records revenues of EGP 1.6bn in 1Q 2023
CI Capital records revenues of EGP 1.6bn in 1Q 2023
Business
International Conference of Institute of National Planning discusses various types of governance
International Conference of Institute of National Planning discusses various types of governance
Business
Aa
Aa
DailynewsegyptDailynewsegypt
  • Home
  • Business
  • Politics
  • Interviews
  • Culture
  • Opinion
  • Sports
  • Lifestyle
  • Home
  • Business
  • Politics
  • Interviews
  • Culture
  • Opinion
  • Sports
  • Lifestyle
Have an existing account? Sign In
Follow US
  • Advertise
© 2023 DNE News. All Rights Reserved.
Dailynewsegypt > Blog > Business > Tourism > Tourism needs support based on clear plan from state: Balbaa
InterviewsTourism

Tourism needs support based on clear plan from state: Balbaa

Abdel Razek Al-Shuwekhi
Last updated: 2017/03/15 at 7:34 PM
By Abdel Razek Al-Shuwekhi 5 Min Read
Share
SHARE

Ahmed Balbaa, chairperson of the Tourism Committee of the Businessmen’s Association, said that the tourism sector needs real support from the state based on a clear plan for a period no less than three years with the help of all government agencies.

In an interview with Daily News Egypt, Balbaa said that the real inbound tourism in 2016 was at most 3.5 million tourists, not 5.3 million as advertised.

How do you see the flow of tourists in the past year?

Last year saw the least inbound tourism to Egypt. We should not refer to the people fleeing their countries and coming to Egypt to avoid turmoil as tourists.

On the ground, the real number of tourists was 3.5 million at most, not 5.3 million as the Ministry of Tourism claims.

This means that inbound tourism in 2016 was the least in 20 years. This was the result of suspended Russian flights since October 2015, along with the travel ban imposed by Britain on flying to Sharm El-Sheikh.

English and Russian tourism are the two major markets for the Egyptian tourism sector. The suspension of their traffic recently caused the drop in the number of tourists.

But there has been some improvement over the past three months. What is your forecast for 2017?

Yes, there is some improvement in tourism inflow, especially from Germany, which I expect to register a growth of 30%, boosting the number of German tourists to 1 million up from 655,000 in 2016.

The rest of the major markets still have travel bans to Egypt, including Russian, British, and Italian.

If travel bans are lifted, inflow from Russia and Britain will be a huge benefit for Egypt, especially as we still offer relatively cheaper tourism.

What is your opinion about raising visa fees from $25 to $60 in July?

We thought that the state will waive all visa fees in light of the current circumstances.

We have to know that other competitors, such as Turkey and Tunisia, allow the entry of foreigners into its territory without a visa—especially the Russians.

The tourism sector has many financial burdens that the state should re-examine. The value-added tax (VAT), the visa fees, and the real estate tax are all making matters worse.

The government must develop a strategy to support the sector until it fully recovers. This will take, at the very least, three years. We have reached a very difficult stage after six years of suffering.

But the Central Bank of Egypt (CBE) launched an initiative allocating EGP 5bn to support the renewal and renovation of hotels and tourism facilities. How is this reflecting on the sector?

The initiative is good, but when we went to the banks seeking loans, we were told they did not have any directives in that regard.

According to the CBE, banks are supposed to finance 75% of the cost of renovation, while companies will secure the remaining 25%.

Egyptian tourism is a strong sector that is labour-intensive. What that means is that the tourism can boost economic growth in general, especially through securing foreign currency.

We called upon the government to provide us with incentives and clear growth plans, like the ones provided to other sectors.

There have been recent complaints about price-based selling. What is the solution to that problem?

The Minister of Tourism has to present a draft law to the parliament to solve this problem. The operational costs alone increased recently by over 40%.

Under these rising costs, it is not reasonable that you find rooms in the Red Sea area booked at $20 and $23 in Sharm El-Sheikh.

We must not claim that the free economy allows hotels to set their prices. The price-based selling is very negative. It waists assets and the state also loses revenues or taxes and fees. This practice also weakens the quality of Egyptian products against their counterparts.

The tourism sector is going through a real crisis, and must not stand by idly.

The problem is caused by a known reason: travel bans. We have to work to improve through solving the main problem, not by reducing our prices.

You Might Also Like

As Egypt decides to establish tourist chambers, federation, what is in it for tourism industry?

Which archaeological sites and museums in Egypt apply cashless ticketing system?

EFG Finance to launch unified platform gathering all its financing services: Alaa Al-Afifi

Egypt unveils ancient mummification workshops, tombs in Saqqara

I changed my artistic path to create ‘state of wonder’: Tarek Lotfi

TAGGED: Ahmed Balbaa, tourism, Tourism Committee of the Businessmen's Association
Share this Article
Facebook Twitter Email Print
Previous Article Fish markets in Egypt: challenges and obstacles that threaten the vital industry
Next Article New round of elections to conclude Press Syndicate’s leadership
1 Comment

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Ad image
Ad image

Stay Connected

Facebook Like
Twitter Follow
Instagram Follow
Youtube Subscribe

Latest News

As Egypt decides to establish tourist chambers, federation, what is in it for tourism industry?
As Egypt decides to establish tourist chambers, federation, what is in it for tourism industry?
Tourism
FRA extends deadline for electing Egyptian federation for securities’ board for 3 months
FRA extends deadline for electing Egyptian federation for securities’ board for 3 months
Business
New MoU signed to develop SMEs in industrial zone in East Port Said
New MoU signed to develop SMEs in industrial zone in East Port Said
Business
CI Capital records revenues of EGP 1.6bn in 1Q 2023
CI Capital records revenues of EGP 1.6bn in 1Q 2023
Business
//
Egypt’s only independent daily newspaper in English. Discuss the country’s latest with the paper’s reporters, editors, and other readers.

Quick Link

  • Home
  • Business
  • Politics
  • Interviews
  • Culture
  • Opinion
  • Sports
  • Lifestyle

Sign Up for Our Newsletter

Subscribe to our newsletter to get our newest articles instantly!

© 2023 DNE News. All Rights Reserved.

Join Us!

Subscribe to our newsletter and never miss our latest news, podcasts etc..

Zero spam, Unsubscribe at any time.

Removed from reading list

Undo
Welcome Back!

Sign in to your account

Lost your password?