Suez Canal revenue drops due to political violence
Monthly revenue from Egypt's Suez Canal declined in January, with experts blaming political violence in port cities
Monthly revenue from Egypt's Suez Canal declined by 4.6 per cent in January compared to the month before and 9.1 per cent compared to January 2012 to record $405.1 million, figures from the Suez Canal Authority (SCA) indicated.
Experts attribute the decline in receipts to last month's outbreaks of political violence in Egypt's canal cities (Port Said, Suez and Ismailia), which left more than 50 people dead.
According to Cairo based investment bank Beltone Financial, the recent unrest has affected shipping activity through the canal, negatively impacting revenue.
The number of oil tankers transiting the canal fell by 19.3 per cent last month compared to December, meanwhile, and by 16 per cent compared to the corresponding month in 2012.
In late January, the SCA announced that it would raise fees for all vessels passing through the strategic waterway by between 2 and 5 per cent starting 1 May, in an effort to boost state revenue.
- Will terror attacks damper Arabs' appetite for European holidays?
- So cool it's hot: Saudi Arabia's $3.2B HVACR market driven by construction boom
- US, EU protectionist policies may be a blessing in disguise for GCC suppliers
- Dubai to Doha: How far can you stretch your dirham?
- OPEC's poor history of compliance will make production cut deal a challenge
- Egypt’s hard currency revenues drop due to Suez Canal losses
- Suez Canal revenues surge by 3.6 per cent
- How the situation in Egypt can severely affect the oil market
- Official data: Suez Canal revenues decline
- Super Saturday at Suez: Good news for Egypt's battered economy as canal records best day of 2013