What Percentage of Egypt’s Economy Is Tourism?

By Anna Duncan

Egypt is a country that boasts of a rich history, ancient ruins, and majestic landscapes. It is no surprise that tourism plays a significant role in its economy. In this article, we’ll delve into the percentage of Egypt’s economy that comes from tourism.

Overview of Egypt’s Economy

Before we dive into the specifics of tourism’s role in Egypt’s economy, let’s first take a quick look at the country’s economic landscape.

Egypt has a diverse economy with various sectors contributing to its growth. The country has been experiencing steady economic growth over the years. In 2019, its GDP was estimated to be $303 billion, making it the third-largest economy in Africa.

However, like many countries, Egypt was hit hard by the COVID-19 pandemic. The pandemic had severe repercussions on its tourism sector, which we’ll discuss in detail below.

The Importance of Tourism in Egypt’s Economy

Tourism is one of the most crucial sectors of Egypt’s economy. The industry generates foreign exchange earnings and creates job opportunities for thousands of Egyptians. According to data from the World Travel and Tourism Council (WTTC), tourism generated 11% of Egypt’s GDP in 2019.

Tourism also plays an essential role in supporting other sectors such as transportation, hospitality, and entertainment. Additionally, it has contributed significantly to reducing poverty levels by providing employment opportunities for locals.

The Impact of COVID-19 on Tourism in Egypt

The COVID-19 pandemic had a significant impact on Egypt’s tourism sector. The country closed its borders for several months to curb the spread of the virus, leading to a sharp decline in tourist arrivals.

According to data from the Central Agency for Public Mobilization and Statistics (CAPMAS), tourist arrivals dropped by 70% between January and September 2020 compared to the same period in 2019.

This decline had severe repercussions on the country’s economy, as tourism accounts for a significant portion of its foreign exchange earnings.

Conclusion

In conclusion, tourism plays a vital role in Egypt’s economy, contributing significantly to its GDP and providing employment opportunities for thousands of Egyptians. However, the COVID-19 pandemic has highlighted the vulnerability of the sector to external shocks.

As Egypt continues to recover from the pandemic’s effects, it is crucial for the government and other stakeholders to implement measures that will support the tourism industry’s recovery. Such measures could include promoting domestic tourism and implementing safety protocols to ensure that tourists feel secure when visiting Egypt.