In the year 2023, the tourism industry in Egypt is booming, propelling the national economy to new heights. According to reports from the World Travel and Tourism Council (WTTC), the tourism sector has recorded remarkable growth, with its contribution to the country’s gross domestic product (GDP) increasing by almost 24%, reaching a record 953 billion of Egyptian pounds – surpassing the previous peak of 21%.
This positive trend is evident not only in job creation, but also in visitor spending, both domestic and international, which exceeds 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 also 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 established in 2008, i.e. 3.7 million, has not yet been reached. However, industry experts remain optimistic. WTTC President and CEO Julia Simpson highlights the resilience of the sector and its crucial role in the Egyptian economy. It also recognizes the government’s proactive approach to tourism investment.
Looking ahead, WTTC 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%, reaching almost £500 billion, while domestic spending is also expected to exceed £340 billion. Job creation is expected to increase by 5.7%, for a total of 2.67 million, representing one in eleven jobs in Egypt.
In the long term, with continued government support, WTTC projects a significant increase in the sector’s contribution to Egypt’s GDP by 2034. Thus, the sector’s annual contribution could reach 1.57 trillion pounds, or 9.6%. economy. Employment could also benefit from a significant boost, potentially reaching nearly 4 million people across the country.
On a regional level, the outlook for North Africa is also promising, with growth expected in the travel and tourism sector. The sector’s contribution to the regional economy this year is expected to reach £2.2 trillion, representing 8.5% of the total. Jobs in the sector are expected to reach 5.3 million, representing one in eleven jobs in the region. Spending by domestic and international visitors is also expected to see significant increases, reaching £960 billion and £1 trillion respectively.
Thus, Egypt is positioning itself as a leading tourist destination, offering considerable potential for economic growth and employment. With optimistic projections for the years to come, the travel and tourism sector continues to play a crucial role in the region’s economic development and offers a glimmer of hope for a prosperous future.