Business

Suez Canal revenues decline by 50% due to Red Sea crisis

 
CAIRO: Egyptian President Abdel Fattah El-Sisi revealed a decline in Suez Canal revenues from 40% to 50%, due to crises on the border, in reference to the Red Sea crisis.

The president said during a speech at the 7th Egypt International Energy Conference and Exhibition EGYPS 2024, “The current crises on our various borders with Libya, Sudan, and the Gaza Strip have caused Suez Canal revenues to decline from 40 to 50%,” noting that the shipping lane’s annual revenues amount to $10 billion.

Al-Sisi stated that Egypt faced the Covid crisis, and bore the consequences of the Russian-Ukrainian crisis, and currently the conflict in the Gaza Strip.

Osama Rabie, Chairman of the Suez Canal Authority, stressed that the authority is keen on continuous consultation with customers and direct coordination to find joint work mechanisms, where the effects of the current crisis in the Red Sea can be reduced.

Since mid-November, commercial ships in the Red Sea have been subjected to attacks in support of the Palestinians in Gaza, which has disrupted the global movement of shipping and forced companies to change the route of their flights to longer and more expensive routes. — ONA