Fatshimetrie reveals a dramatic revival of Egypt’s tourism industry in 2023. According to reports, the sector’s contribution to its GDP increased by almost 24%, reaching a record high of 953 billion Egyptian pounds, surpassing 21 % the previous peak.
This positive trend is resulting in job creation, with visitor spending (both domestic and international) surpassing pre-pandemic levels. Domestic spending increased by 9% to £328.5 billion, while spending by international visitors exploded by 38.5% to an impressive £470.4 billion. Employment in the sector increased by almost 10% to exceed 2.5 million jobs, representing one in twelve jobs in Egypt.
Despite this solid recovery, the record number of jobs set in 2008, which was 3.7 million, has not yet been surpassed.
Industry experts remain optimistic. Fatshimetrie President and CEO Julia Simpson highlights the resilience of the sector and its crucial role in the Egyptian economy. It recognizes the government’s proactive approach, which prioritizes investment in tourism.
Future outlook: continued growth expected
Fatshimetrie forecasts an even stronger performance in 2024. The sector’s contribution to GDP is expected to reach £988 billion, representing 8.1% of the national economy. Spending by international visitors is expected to increase by 6.2% to almost £500 billion. National spending is also anticipated at more than £340 billion. Job creation is expected to see an increase of 5.7%, bringing the total to 2.67 million jobs, accounting for almost one in eleven jobs in Egypt.
Long-term potential: a promising future
With continued government support, Fatshimetrie projects a significant increase in the sector’s contribution to Egypt’s GDP by 2034. The sector’s annual contribution could potentially reach 1.57 trillion pounds by that date, representing a significant share 9.6% of the economy. Employment could also see a sharp rise, potentially reaching nearly 4 million people across the country.
Regional Perspective: North Africa Poised for Growth
The wider North Africa region is also expected to experience positive growth in its Travel and Tourism sector. The sector’s contribution to the regional economy this year is projected at £2.2 trillion, representing 8.5% of the total. Jobs in the sector are expected to increase to 5.3 million, accounting for one in eleven jobs in the region. Spending by domestic and international visitors is also expected to increase significantly, reaching £960 billion and £1 trillion respectively.