Egypt Opens Doors To revitalize battered tourism sector, Egypt allows foreign tourists in
Many people who work in Egypt’s battered tourism sector have let out a sigh of relief as the government reopened three key tourist resorts overlooking the Red Sea and the Mediterranean in June, allowing international and domestic flights as well as hotels and tourism-related activities to fully operate after almost four months of complete closure due to COVID-19.
The move came after the government lifted a partial nighttime curfew on June 27 imposed in the country since the beginning of the COVID-19 eruption more than four months ago, reopening restaurants, cafes, theaters and cinemas with a 25-percent limit on their capacity. For three months, Ali Moussa, a 37-year-old tour guide, never left his home in Cairo, not only because he feared the pandemic and wanted to adhere to the lockdown and curfew laws, but also out of the necessity to cut expenses, especially after he was laid off and his savings ran out.
Opening the door for tourists has given Moussa hope, but he still has reservations about resuming tour guide activities. He said one simple failure in the system, a law violation, or random infection could lead to wider spreading of the disease and have even more adverse effects on the tourism industry. “[However] I am still hopeful that taking an initiative to revitalize the sector is better than giving up to a deep sense of helplessness,” Moussa said.
As of July 13, Egypt had recorded 81,158 cases and 3,769 deaths, according to WHO statistics.
Tourism lifeline
Egypt, with a population of 100 million, is clearly feeling the economic impact of the pandemic to the point where the International Monetary Fund recently approved the country’s request for emergency financial assistance of $2.772 billion to meet the urgent balance of payments needed as a result of the pandemic.
Tourism plays a key role in Egypt’s economy. Its contribution to the country’s gross domestic product reached 11.9 percent during 2018, according to a recent report by the World Travel and Tourism Council. It is estimated that a total of 13.1 million tourists visited Egypt in 2019, up from 11.3 million and 8.3 million tourists in 2018 and 2017, respectively, with revenues hitting a record high of $13 billion in 2019, according to recent statistics from the Central Bank of Egypt.
With the opening of tourism, Egypt aims to offer incentives and encourage tourists to visit Hurghada, Sharm el-sheikh and Marsa Matruh resorts, given they are less populated and recorded much fewer cases of COVID-19 than the overpopulated mainland. Despite this, the government has taken precautionary measures to prevet the spreading of disease.
Unlike pre-pandemic times, tourist visas are no longer required on arrival. Also, according to the Egyptian Ministry of Tourism and Antiquities, aviation fuel will be discounted by 10 cents per gallon (about 4.5 liters), airlines will receive a 50 percent landing and boarding fee discount, and a 20 percent discount on ground services will be granted for direct flights to the coastal governorates. This is in addition to a 20 percent discount on tickets to historical sites and museums, with further discounts for those using the state airline, Egypt Air.
Realizing the sensitivity of the decision, one that could open a Pandora’s box, the ministry launched beforehand a strict inspection campaign of 110 hotels, and only 94 hotels were granted a Health Safety Certificate (HSC), an official hygiene safety document required before hotels can reopen during the pandemic. Earlier, authorities allowed operation of over 260 hotels for local tourists, with a 50 percent capacity cap after they were given the HSC.
Optimistic outlook
In addition to the incentives and measures put in place, tourists flying from countries where the pandemic is still spreading will be asked to provide a polymerase chain reaction test proving that they are not infected with COVID-19. Meanwhile, tourists visiting the archeological sites such as the Pyramids of Giza and the Grand Egyptian Museum have to adhere to social distancing and only 200 persons will be permitted into large museums at any given time.
“The past three months were the worst times ever. I could not make any money and without my wife’s income, who has a pharmacy here, our savings would have run out,” said 47-year-old Yasser Nabih, who has been working as a tour guide in Hurghada resort overlooking the Red Sea for almost 20 years. In this time, he has seen ups and downs in the sector before and after the political turmoil coincided with the Egyptian uprising in 2011.
“Before the turmoil, there were lots of tourists coming to the resort, mostly Russians and Germans, and hard currency was plentiful. Over the past 10 years, the occupancy has been replaced with local tourists who spend less. But the past three months were absolutely the worst, and the pandemic caused all workers in the sector to leave the city,” said Nabih.
As infected cases have dropped globally, the Egyptian Government raised occupancy rate limit to 50 percent in June, compared to less than 25 percent the previous month, and nearly 155 resorts and hotels were able to receive domestic visitors. As of July 1, 232 open tourism establishments in 13 governorates had been allowed to receive foreign and domestic visitors alike.
Hossam El-shaer, head of the Egyptian Travel Agents Association, expects that
Alexandria and North Coast, overlooking the Mediterranean, will see 100-percent occupancy rates in July and August due to the simmering summer weather in the country, and more Gulf visitors will come as soon as international flights resume.
Encouraged by the fact that the selected resorts recorded the lowest COVID-19 cases, Egyptian Minister of Tourism and Antiquities Khaled el-anani visited both Hurghada and Sharm el-sheikh resorts where he inspected airports, hotels and hospitals. He reported that the resort cities are safe and welcome tourists from everywhere.
“The weather here is refreshing, landscape is breathtaking, and we have the sea, sand, mountains - everything here is beautiful and heathy, which is why we selected these three resorts to resume tourist activities,” said el-anani.
Tourism will return and it seems that the government is trying its best to revitalize the industry as much as possible, said Ahmad Murad, a local tourism expert.
“But the resumption, at this time, is a double-edged sword or a gamble; but if tourists come and no COVID-19 cases are recorded, this would mean that the government’s gamble has paid off and things will be even better than before the virus outbreak,” said Murad. CA