Egypt tourism minister sees recovery despite challenges

Updated 24 October 2014
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Egypt tourism minister sees recovery despite challenges

CAIRO: Egypt's tourism minister hopes to fully revive one of the country's most vital industries by next April but persuading the world that it is safe to visit the ancient pyramids or Red Sea resorts after three years of upheaval is a daunting task.
Hisham Zaazou is mounting public relations campaigns, inviting foreign officials to visit and assess Egypt's stability for themselves and boosting security at airports and hotels.
He is fully aware that a single attack by Islamist insurgents or new street protests in a nation destabilized by political turmoil since the fall of autocrat Hosni Mubarak in 2011 could instantly undermine what he says is progress.
Zaazou's campaign is highly vulnerable to travel warnings issued by Western states who were the source of most tourists before a slump in business hammered the economy.
"Once you don't have the perception that your security and safety is guaranteed these countries will put out a negative travel advice. And that's closing the door for the client," said Zaazou in an interview for the Reuters Middle East Investment Summit.
"I went around to the source markets and asked these governments, particularly at the ministries of foreign affairs, to send technical delegations to Egypt to check our measures in that respect and write us a report." Zaazou hopes his efforts will return annual tourism revenues — a pillar of the economy — to pre-uprising, peak levels of 2009 and 2010 of $12.5 billion, despite what he calls alarmist media coverage of Egypt.
"At the end of the winter season which is April 2015, not the end of 2015, we should record good numbers of the comeback and the full revival of the tourism industry," he said.
Once peaking at $12.5 billion a year, tourism revenues were less than half that in 2013 at $5.9 billion.
More than 14.7 million tourists visited Egypt in 2010, dropping to 9.8 million in 2011. They picked up the following year to 11.5 million but shrank back to 9.5 million last year.
Tourist revenue in the first half of 2014 was $3 billion, down 25 percent from the same period a year earlier, the government said in August. Government figures had shown tourism contributed 11.3 percent of GDP and 14.4 percent of foreign currency revenues.
Egypt's tourism industry has survived big setbacks in the past.
On Nov. 17, 1997 militants descended on Queen Hatshepsut's temple near the Nile town of Luxor. In a short time they shot or hacked to death 58 tourists and four Egyptians.
The following January and February, visitor numbers were down almost 60 percent from the previous year. Yet the industry staged a remarkable comeback.
Western countries whose travel warnings make Zaazzou's job more challenging are looking at a more complex security equation in Egypt these days.
The rapid advance of Islamic State has worried governments across the region, including in Egypt.
Still, Zaazou is convinced that a greater emphasis on security and innovation can make a difference.
He said he is working closely with security authorities on ways of making the Arab world's most populous nation safer in the hope of luring back European visitors who make up about 70 percent of the market.
He has his eye on potential long-haul tourists from the United States, as well as visitors from China, stressing that the Asian powerhouse exports 98 million tourists globally each year.
"I'm going to concentrate more and more in the coming few weeks on China. There is a proposition to have a charter operation for the first time from China," said Zaazou.
The minister says aside from spending from the Defense and Interior Ministry, about $7 million has been allocated to security from his own ministry's finances over the past year.
To entice foreigners, Zaazou is coming up with new products off the once worn out tracks of the pyramids, Luxor, Aswan and Red Sea beaches.


Open Forum Riyadh to discuss digital currency, AI, and mental health

Updated 26 April 2024
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Open Forum Riyadh to discuss digital currency, AI, and mental health

  • The event will run in parallel to the WEF’s Special Meeting on Global Collaboration

LONDON: The Open Forum Riyadh — a series of public sessions taking place in the Saudi capital on Sunday and Monday — will “spotlight global challenges and opportunities,” according to the organizers.

The event, a collaboration between the World Economic Forum and the Saudi Ministry of Economy and Planning, will run in parallel to the WEF’s Special Meeting on Global Collaboration, Growth and Energy for Development, taking place in Riyadh on April 28 and 29.

“Under Saudi Vision 2030, Riyadh has become a global capital for thought leadership, action and solutions, fostering the exchange of knowledge and innovative ideas,” Faisal F. Alibrahim, Saudi minister of economy and planning, said in a press release, adding that this year’s Open Forum being hosted in Riyadh “is a testament to the city’s growing influence and role on the international stage.”

The forum is open to the public and “aims to facilitate dialogue between thought leaders and the broader public on a range of topics, including environmental challenges, mental health, digital currencies, artificial intelligence, the role of the arts in society, modern-day entrepreneurship, and smart cities,” according to a statement.

The agenda includes sessions addressing the impact of digital currencies in the Middle East, the role of culture in public diplomacy, urban development for smart cities, and actions to enhance mental wellbeing worldwide.

The annual Open Forum was established in 2003 with the goal of enabling a broader audience to participate in the activities of the WEF, and has been hosted in several different countries, including Cambodia, India, Jordan and Vietnam.

The panels will feature government officials, artists, civil-society leaders, entrepreneurs, and CEOs of multinationals.

This year’s speakers include Yazeed A. Al-Humied, deputy governor and head of MENA investments at the Saudi Pubic Investment Fund; Princess Reema Bandar Al-Saud, Saudi Arabia’s ambassador to the US; and Princess Beatrice, founder of the Big Change Charitable Trust and a member of the British royal family.

Michele Mischler, head of Swiss public affairs and sustainability at the WEF, said in a press release that the participation of the public in Open Forum sessions “fosters diverse perspectives, enriches global dialogue, and empowers collective solutions for a more inclusive and sustainable future.”


Meituan looks to hire in Saudi Arabia, indicating food delivery expansion

Updated 26 April 2024
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Meituan looks to hire in Saudi Arabia, indicating food delivery expansion

SHANGHAI: Chinese food delivery giant Meituan is seeking to hire staff for at least eight positions based in Riyadh, in a sign it may be looking to Saudi Arabia to further its global expansion ambitions, according to Reuters.

The jobs ads, which is hiring for KeeTa, the brand name Meituan uses for its food delivery operations in Hong Kong, is seeking candidates with expertise in business development, user acquisition, and customer retention, according to posts seen by Reuters on Linkedin and on Middle Eastern jobs site Bayt.com.

Meituan did not immediately respond to a request for comment by Reuters on its plans for Saudi expansion.

Bloomberg reported earlier on Friday that the Beijing-based firm would make its Middle East debut with Riyadh as the first stop.

Since expanding to Hong Kong in May 2023, Meituan’s first foray outside of mainland China, speculation has persisted that its overseas march would continue as the firm searches for growth opportunities, with the Middle East rumored since last year to be one area of possible expansion.

“We are actively evaluating opportunities in other markets,“ Meituan CEO Wang Xing said during a post-earnings call with analysts last month.

“We have the tech know-how and operational know-how, so we are quietly confident we can enter a new market and find an approach that works for consumers there.” 


IMF opens first MENA office in Riyadh

Updated 26 April 2024
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IMF opens first MENA office in Riyadh

RIYADH: The International Monetary Fund has opened its first office the Middle East and North Africa region in Riyadh.

The office was launched during the Joint Regional Conference on Industrial Policy for Diversification, jointly organized by the IMF and the Ministry of Finance, on April 24.

The new office aims to strengthen capacity building, regional surveillance, and outreach to foster stability, growth, and regional integration, thereby promoting partnerships in the Middle East and beyond, according to the Saudi Press Agency.

Additionally, the office will facilitate closer collaboration between the IMF and regional institutions, governments, and other stakeholders, the SPA report noted, adding that the IMF expressed its appreciation to Saudi Arabia for its financial contribution aimed at enhancing capacity development in its member countries, including fragile states.

Abdoul Aziz Wane, a seasoned IMF director with an extensive understanding of the institution and a broad network of policymakers and academics worldwide, will serve as the first director of the Riyadh office.

 


Saudi minister to deliver keynote speech at Automechanika Riyadh conference

Updated 26 April 2024
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Saudi minister to deliver keynote speech at Automechanika Riyadh conference

RIYADH: Saudi Arabia’s Deputy Minister of Investment Transaction Saleh Al-Khabti is set to deliver the keynote speech at a global automotive aftermarket industry conference in Riyadh.

Set to be held from April 30 April to May 2 in the Saudi capital’s International Convention and Exhibition Center, Automechanika Riyadh will welcome more than 340 exhibitors from over 25 countries.

Al-Khabti will make the marquee address on the first day of the event, which will also see participation from Aftab Ahmed, chief advisor for the Automotive Cluster at the National Industrial Development Centre, Ministry of Industry and Mineral Resources.

Saudi Arabia’s automotive sector is undergoing a transformation, with the Kingdom’s Public Investment Fund becoming the major shareholder in US-based electric vehicle manufacturer Lucid, and also striking a deal with Hyundai to collaborate on the construction of a $500 million-manufacturing facility.

Alongside this, Saudi Arabia’s Crown Prince Mohammed bin Salman launched the Kingdom’s first electric vehicle brand in November 2022.

Commenting on the upcoming trade show, Bilal Al-Barmawi, CEO and founder of 1st Arabia Trade Shows & Conferences, said: “It is a great honor for Automechanika Riyadh to be held under the patronage of the Saudi Arabian Ministry of Investment, and we’re grateful for their continued support as the event goes from strength-to-strength.

“The insights and support we’ve already received have been invaluable, and we look forward to continuing this relationship throughout the event and beyond.”

This edition of Automechanika Riyadh will feature seven product focus areas, including parts and components, tyres and batteries, and oils and lubricants.

Accessories and customizing, diagnostics and repairs, and body and paint will also be discussed, as well as care and wash. 

Aly Hefny, show manager for Automechanika Riyadh, Messe Frankfurt Middle East, said: “The caliber of speakers confirmed to take part at Automechanika Riyadh is a testament to the event’s growth and prominence within the regional automotive market.

“We have developed a show that goes beyond the norm by providing a platform that supports knowledge sharing and networking while promoting the opportunity to engage with key industry experts and hear the latest developments, trends and innovations changing the dynamics of the automotive sector.”


Aramco-backed S-Oil expects Q2 refining margins to remain steady then trend upward

Updated 26 April 2024
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Aramco-backed S-Oil expects Q2 refining margins to remain steady then trend upward

SEOUL: South Korea’s S-Oil forecast on Friday that second-quarter refining margins will be steady, supported by regular maintenance in the region, then trend upward in tandem with higher demand as the summer season gets underway, according to Reuters.

Over the January-March period, the refiner said it operated the crude distillation units  at its 669,000-barrel-per-day oil refinery in the southeastern city of Ulsan at 91.9 percent of capacity, compared with 94 percent in October-December.

S-Oil, whose main shareholder is Saudi Aramco, plans to shut its No. 1 crude distillation unit sometime this year for maintenance, the company said in an earnings presentation, without specifying the time.