Domino effect of US terrorist attack will hit Egypt’s economy
Economists have concurred that the effect of the criminal terrorist attacks on New York City and Washington would spillover and leave its mark on other world business and political centers as well.
International experts maintain that the US economy will suffer exorbitant losses as a result of the assaults. They estimate material losses at tens of billion dollars. In an article published by the Cairo Al-Akhbar daily, the editor Jalal Duwaydar expressed serious concerns regarding the losses incurred by Arab investors within the US market.
Duwaydar believes that these Arab investors are facing loses of up to $28 billion. He maintained that the chief cause for these losses would be damages brought upon the local tourist industry.
As expected, US tourism industry is about to experience major repercussions in the coming months. This will soon be translated to some serious problems within the US national economy in the form of unemployment and an imminent recession. Economists throughout the world have aired their concern regarding the ripple effect the US economy would have on other international economies.
Egypt is one of these tourist destinations, which already suffers massive financial losses. For Egypt, tourism has been a major source of income. The tourist sector has been an economic as well as a national gem, cultivated and nourished by all.
The recent terrorist attacks on the economic and political capitals of the world has had its effect on Egypt as well, according to Duwaydar. Many cancellations by tourist groups and individuals are already an indication that no country is immune to such developments.
Egypt, like any other country will have to rethink its strategy and act to minimize the negative by-products of the recent crisis, concluded Duwaydar. — (Mena Report)
© 2001 Mena Report (www.menareport.com)