ARTICLE
29 April 2021

Egypt Invests In Tourism (Legal Alert 137)

Ai
Andersen in Egypt

Contributor

Andersen in Egypt is offering comprehensive and varied legal and tax services to companies and individuals, in addition to financial advisory services licensed by the Egyptian Financial Regulatory Authority (License No. 47), through our team of 9 partners and more than 70 of the top lawyers and consultants.
The Egyptian state makes an effort to highlight the long-term strategic plans aiming to achieve sustainable economic development through the improvement of the tourism sector...
Egypt Strategy
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The Egyptian state makes an effort to highlight the long-term strategic plans aiming to achieve sustainable economic development through the improvement of the tourism sector, which has been severely affected by the Covid 19. Tourism has long been a major contributor to the Egyptian economy, accounting for approximately 12.5% of the total employment in Egypt, and therefore contributes significantly to the state revenues, with numbers reaching approximately US$15 billion in 2019.

Meanwhile, the Egyptian state has been keen in recent times to restore many monuments, such as, the Pyramid of Djoser returning it to its majestic form, the restoration and development of the Royal Vehicles Museum, the opening of a museum in Hurghada, and another in Sharm El-Sheikh, the restoration of the Eliyahu temple in Alexandria, the restoration of the hanging church in ancient Egypt, the establishment of the Museum of Islamic Art, as well as the Grand Egyptian Museum, which the world looks forward to its opening at the end of this year.

Moreover, the state has dealt with the  archaeological excavation phenomenon, which includes concealment or smuggling of archeological relics abroad, by imposing heavy penalties (up to life imprisonment) exemplifying the state's diligence in the protection of the Egyptian antiquities.

Furthermore, the state recently reignited tourist activity, hoping the pandemic ends, by displaying the Grand Parade of the Pharaohs on April 3rd for the world to witness. During this ceremony, which was organized by the Egyptian state, royal mummies were transferred from the Egyptian Museum in Tahrir to the National Museum of Egyptian Civilization in Fustat, and the event was broadcasted live across the world.

Despite the above, the Egyptian state should aim to further benefit from the tremendous developments in information and communication technology, since travel restrictions during the Pandemic directly caused substantial damage to per capita income. Using technology to display the array of antique treasures possessed by the country could lead to enormous revenues, thus rectifying some of the damage caused by Covid. The e-tourism sector is important since it facilitates the transfer of historical information, reducing the costs of tourism services, and facilitating the development of tourism products. The culmination of these elements can add value to the tourism sector, by indirectly contributing to the development of the country's technological advancement as well.

Finally, this article aims to emphasize that the Egyptian state is proceeding in an unprecedented manner in the development of the tourism sector, and by utilizing all of the resources available, we can further achieve sustainable economic development.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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