SUMMARY – EGYPT’S HOTEL OCCUPANCY RATE SURGED TO 80% IN H1 2023, DRIVEN BY EUROPEAN TOURISTS WHO CONSTITUTED OVER 75% OF THE TOTAL OCCUPANTS. THE TOURISM SECTOR’S RESILIENCE CONTRIBUTES AROUND 15% TO EGYPT’S GDP, REFLECTING A POSITIVE ECONOMIC OUTLOOK.
The hotel occupancy rate in Egypt witnessed a remarkable surge, reaching approximately 80% in the first half (H1) of this year. This is a significant increase compared to the 65% occupancy recorded during the same period in 2022. According to a government official’s statement to Asharq Business on July 26th, the tourism sector in Egypt is experiencing a strong recovery.
Hurghada and Cairo Lead with Impressive Hotel Occupancy Rates
Hurghada, one of Egypt’s popular tourist destinations, emerged as the clear winner in terms of hotel occupancy. Last April, the city achieved a remarkable 100% occupancy rate, attracting travelers from all around the globe. Following closely behind, Cairo maintained a solid occupancy rate ranging between 80% and 85%, making it a sought-after destination for both business and leisure travelers.
A notable trend observed in the inbound tourism statistics is the average duration of tourists’ stays. On average, visitors spent between 7 and 10 nights in Egypt, making the most of their trip. Additionally, tourists were willing to pay an average of $100 per night for accommodation, indicating their confidence in the quality of service provided by Egyptian hotels.
Among the various nationalities visiting Egypt, European tourists stood out as the largest group. They occupy over 75% of the hotel rooms. Their preference for Egyptian hotels speaks volumes about the country’s appeal to European travelers. That trend significantly contributed to the increased hotel occupancy rates.
The tourism industry is a vital pillar of Egypt’s economy, contributing approximately 15% to the country’s gross domestic product (GDP). Additionally, it plays a crucial role in generating foreign currency for the nation. The surge in hotel occupancy is a positive indicator of the sector’s resilience and its capacity to drive economic growth.