Egypt Political Scenario In Egypt Tourism
Egypt Political Scenario In Egypt Tourism

Egypt Political Scenario In Egypt Tourism

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  • Pages: 7 (3212 words)
  • Published: October 8, 2017
  • Type: Research Paper
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Egypt was declared as a democracy in 1953. It is a semi presidential democracy in which the president is the caput of the province and the caput of the authorities every bit good. The authorities is formed by the governing National Democratic Party. The authorities has the executive power and the people 's assembly and the authorities together keep the legislative powers. Mohamed Hosni Mubarak, the 4th Egyptian President has been in office since 1981.

Political parties are allowed to be as per the Egyptian fundamental law. However, any political party which has spiritual associations and political orientations which subvert the Egyptian fundamental law are deemed illegal. There are presently 18 political parties in Egypt.

Egypt has been under exigency regulations since 1967. The exigency regulations are extended every three old ages. The exigency regulations have curtailed many of the political rights of the Egyptian populace. The commissariats of the exigency regulation include a rigorous prohibition on excess governmental political activities, presentations and protests, unauthorized pecuniary contributions. However, these commissariats of the exigency regulations have seen many misdemeanors in the recent times. The people protesting have been demanding democratic reforms, the sequence of the younger boy of Hosni Mubarak, Gamal Mubarak as the president, and an terminal to the force of province security forces. Assorted political parties and associations are spearheading these protests and are inquiring for greater answerability from the authorities. There have been assorted motions for greater regard for human rights and land reforms. The provincials have been rather active


in protesting against the authorities demanding land reforms and land keeping rights.

The political state of affairs in Egypt has taken a bend for the worse late. The dissenters, encouraged by the recent revolution in Tunisia, have started a new moving ridge of protests inquiring the president to step down and to originate democratic reforms. The dissenters have been prosecuting in assorted Acts of the Apostless of civil noncompliance to set force per unit area on the president to submit to their demands. Many cases of contending between the security forces and public have been reported. Deaths from cantonments, the protesting public and the security forces has been reported. The President, Hosni Mubarak after coming under enormous force per unit area has dismissed the authorities of Egypt. There is international force per unit area of Hosni Mubarak to guarantee a peaceable motion towards reforms.

Foreign Relationss

Compared to the other Arab states, Egypt has had affable dealingss with states around the universe. Egypt is the most of import member of the League of Arab States. The central office of the League of Arab States is for good located in Egypt. Egypt was the first amongst the Arab states to recognize and keep diplomatic dealingss with Israel. It has signed peace pacts with Israel and is the main negotiant between the Arab provinces and Israel. However, Egypt has been involved in a territorial difference with Sudan which has strained dealingss with the state.

Apart from this the state is besides confronting assorted other security menaces in the signifier of terrorist onslaughts. Such onslaughts in the yesteryear hold driven out tourers from Egypt and a repeat

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of the same could earnestly halter the touristry industry.

Therefore, the currency political scenario is non contributing to the growing and development of the touristry industry in Egypt. The influx of tourers will temporarily endure on history of the current protests. This would intend that Egyptian touristry sector and the cordial reception industry would endure a impermanent but important reverse due to the current political convulsion. A drawn-out period of uncertainness could stain the image of Egypt as a safe and unafraid tourer finish. Therefore, the president and authorities together would hold to convey political stableness in Egypt to foster the growing chances of Egypt. The president should take proactive steps to convey the state back to political stableness. A long term solution needs to be worked out to guarantee that such protests, which hamper the economic system and societal life of the people of Egypt, do non happen in future.

Economic Scenario in Egypt

In a set of sweeping alterations after the Banking Crisis in Egypt, the authorities instituted several steps to modulate and advance the economic system. This was besides done to increase the attraction of Egypt as a hub for foreign investing. The authorities wanted to travel off from the socialist economic system of the earlier old ages characterised by a powerful bureaucratism and inefficient systems. This, the authorities at the clip believed was a hinderance to growing and sustainable development. For this, the authorities effected many reform steps, to do the economic system more unfastened, like the constitution of a recognition agency, deregulating the fiscal and banking industry to do the environment more contributing for rapid economic growing and foreign investing.

The past decennary was particularly good for the Egyptian economic system. The growing rate of the state 's economic system increased from 4 per cent in 2004 to over 7 per cent in 2009 when the planetary fiscal crisis slowed down growing in economic systems around the universe. In malice of the lag, the Egyptian economic system continued to surpass the major economic systems except India and China. The GDP of the Egyptian economic system grew at 4.7 % in 2009 and 5.2 % in 2010. Therefore, the state has been witnessing a period of prosperity and lifting incomes. This has besides been an encouraging period for foreign investing.

Social Scenario in Egypt

As mentioned earlier, the Egyptian economic system has been turning at a healthy rate in the last few old ages and has displayed superior economic public presentation compared to other states in Northern Africa. The growing that the economic system has been basking over the last decennary has non been inclusive. Many believe that the growing that the state has been witnessing has been unevenly distributed and this has resulted in the societal inequality lifting in the state. The state still has a big portion of its population fighting for a life and to do both terminals meet. This has resulted in periods of societal agitation and uncertainness.

The current force and rioting in Egypt has roots in the same grounds. The fiscal insecurity and want has caused the populace to fall back to riots and public agitation which

are now endangering to undersell the state 's economic growing and political apparatus. Continuance of the protest could farther weaken the economic state of affairs in the state. The lifting rising prices has made affairs worse. Inflation, which is a extremely sensitive subject in Egypt, has already reached unsustainably high degrees of around 17 % . Food rising prices is lifting at an even quicker gait. The state is besides plagued by several land acquisition cozenages which are hitting the already stressed lodging sector. The authorities fundss are already strained on history of the heavy subsidies and stimulation bundles during the economic lag.

This unrest straight impacts foreign investing coming into the state. The touristry sector would besides endure on history of a lower security degree perceptual experience of Egypt. Heightened concerns about the societal and political conditions in Egypt could discourage many possible tourers from sing Egypt in the close hereafter. Many states have issues advisories against going to Egypt in this period of convulsion.

Technological Scenario

The growing that the information engineering industry in Egypt has been witnessing in recent times has come as a blessing to the local touristry industry. The growing in information engineering sector has created an ecosystem, which the touristry and cordial reception houses have been working to supply better services to the clients and possible tourers. These houses have been able to offer on-line and telephone engagement to the clients from elsewhere. Besides, they through affiliations with hotel ironss and conveyance companies have managed to incorporate the services to do the procedure of be aftering a holiday to Egypt easier. However, the extent of usage of engineering is still limited. But, it is expected that the industry would encompass engineering to supply a superior experience to their clients. This would well increase the easiness of be aftering an itinerary and would ensue in greater grosss due to an addition in the figure of tourers.

Tourism Industry in Egypt

The touristry industry is one of the most of import sectors in the Egyptian economic system. It is a sector which contributes over $ 11 billion to the economic system. It besides employs about 12 % of the state 's work force.

Egypt attracted 12.8 visitants in the twelvemonth 2008. This was a important addition from around 5.5 million visitants in 2000. In those 5.5 million visitants, whose grosss were to the melody of $ 4.3 million, about near to 3.8 million were from Europe. In 2000, there were 113,611 suites in hotels with 227222 beds and a 73 % tenancy rate. It was estimated that in 2002, it would be an mean tourer around $ 167 a twenty-four hours in Cairo, which was about the same for other European metropoliss every bit good.

The touristry sector in Egypt suffered a reverse in 2008-2009 due to the general economic downswing and due to wellness and security grounds like panic menaces, bird grippe etc. The industry suffered a major downswing in the footsteps and grosss. However, new information shows that the industry is on the manner back to growing. The tourer reachings in 2009 were 2.4 million which in malice of being a

2.3 % diminution from the old twelvemonth still was better than most industry projections. In footings of gross, the industry posted a gross autumn of merely 2 % , in malice of a 17 % diminution for the first one-fourth and a 9.5 % diminution for the first half of the twelvemonth. This could be attributed to certain proactive steps adopted by the Egyptian touristry ministry.

Egypt gets most of its foreign visitants from EU, Russia, Eastern Europe and the England. Therefore, the touristry industry in Egypt is strongly linked to economic conditions in these cardinal beginning markets. And, with many of these economic systems demoing reversal of tendencies after the recession, the touristry industry showed positive growing in Egypt. This is expected to increase further in 2011 with better public presentation in these economic systems interpreting into more visitants and greater grosss to the Egyptian touristry sector.

Relevance of Exchange rate to the Tourism Industry

The attraction of Egypt as a touristry finish besides depends on its exchange rates viz-a-viz major currencies around the universe. The Egyptian Pound had gone through a period of diminution in 2009, which boosted the state 's competitory advantage as a tourer finish. However, this tendency is likely to alter as the Egyptian Pound is projected to derive with regard to appreciate against Pound Sterling, the dollar and Euro. This grasp in the currency is expected to set brakes on the recovery of the industry. Besides, the lifting rising prices rates in the state are besides expected to further decelerate down the recovery of the industry. This is because an addition in the costs of goods and services in the economic system would raise the disbursement of visitants in Egypt.

The Egyptian Pound is expected to be volatile in the close hereafter. No clear tendencies have emerged sing the Egyptian Pound exchange rates. However, most analysts believe that in the long tally, the Egyptian Pound would appreciate with regard to most major currencies. This means that the foreign travelers would hold to incur extra outgo during their holidaies in Egypt. This would adversely impact the figure of foreign tourers coming into Egypt and would besides cut down the gross accruing to Egypt through touristry. Therefore, an grasp of the currency would gnaw the fight of Egypt as a touristry finish with regard to other states in the part. However, there is a contrarian tendency in the signifier of lifting capital influxs into the Egyptian economic system. This ab initio would intend an upward force per unit area on the Egyptian Pound. However, the lifting capital influxs due to a more favorable position of Egypt as a promising investing finish would intend that the foreign exchange militias of Egypt would increase well. This would let the Central Bank of Egypt greater leeway and resources to efficaciously pull off the exchange rate. So, it is expected that the Central Bank would be able to absorb the upward force per unit area on the exchange rate and maintain stableness in the currency with regard to other major currencies. The consequence of these counter playing forces would be that the exchange rate

of Egypt, traveling frontward, would stay reasonably changeless or would marginally increase in the close hereafter.

Traveling Forward

The projections for the Egyptian Tourism sector besides look assuring. It is estimated that the grosss for the sector would post an increase of over 53 % for the 2007-2012 period. This translates into a CAGR of about 9 % which makes it one of the most promising sectors in the Egyptian economic system. It is besides the largest beginning of foreign exchange for Egypt.

As mentioned earlier, touristry sector is the largest subscriber to the foreign exchange militias of Egypt. And it for this ground that the authorities is taking proactive steps in upgrading the touristry sector to remain up-to-date with the current tendencies.

The quality of environment and the pollution and the general hygiene degrees have a immense impact on the growing of touristry sector. Therefore, the authorities is paying greater attending to raise the quality of environment in order to turn and prolong the industry. Another country of focal point for the Egyptian authorities is Eco-tourism. This section is non developed in Egypt and the touristry ministry has identified a immense potency for the same in the old ages to come. It has been seen that the states which pay greater attending to the protection of the ecosystem, see faster growing in tourer reachings. This has prompted the Egyptian authorities to take steps to continue bio-diversity. Egypt has a big and diverse ecosystem and the natural attractive forces found in Egypt are alone to the state. These include desert wildlife, coral reefs etc. Gaining the importance of continuing these, the authorities has undertaken steps to guarantee their saving and development. The authorities has declared several protected countries numbering near to a hundred thousand square kilometers, where the vegetation and zoologies are protected.

Apart from this, the authorities has besides initiated step to take the institutional and structural obstructions to touristry development. The obstructions are in the signifier of administrative and bureaucratic hurdlings, revenue enhancement system, funding and recognition supply, fees etc.

The authorities is besides looking to increase the visitants into the state through an betterment in connectivity with the major cardinal beginning markets like Russia, United Kingdom, Euro zone and states in cardinal and Eastern Europe. This would be accomplished through confederations with the authoritiess of these states to do the visa ordinances drum sander and simpler. Besides, the national bearer Egypt Air would besides increase connectivity to these and other states by increasing the frequence of flights and by increasing path coverage. The authorities is besides encouraging investing into the cordial reception industry in Egypt. The authorities has adopted favorable ordinances to spur the growing of hotel suites and beds providing to the touristry sector. They are besides supplying inducements for touristry related concerns to get down operations so that there would be sufficient substructure and installations in topographic point to run into the demand in the close hereafter when the figure of tourers sing Egypt is expected to lift. This would guarantee that the prospective visitants would hold more convenience and minimal obstructions in going and remaining in Egypt.

State Profile: Fiji

The Republic

of Fijian Islands is a bantam democracy, constituted by a big figure of islands, situated in the South Pacific ocean. It is a state which was under the British regulation for over a century and was merely liberated in the seventiess. The state is a democracy. But, this was interrupted by two military putschs. The first 1 was in 1987 when the armed forces ousted the authorities which was perceived as being dominated by the Indian community. This subsequently led to a new fundamental law which ensured the Melanesian control of Fiji. This resulted in heavy out-migration of the Indian community out of Fiji. However, a certain reforms later had paved the manner for a more just authorities. The comparatively stable political state of affairs was once more interrupted by a putsch late in 2006 by the military leader Voreqe Bainimarama. Bainimarama has repeatedly sought to stultify resistance and has refused to keep democratic elections in Fiji.


Fiji has a GDP of $ 3.8 billion. It posted a modest economic growing of 1.8 % in GDP in 2010. It is a state which is dominated by the services sector which accounts for over 75 % of the economic system. Agriculture and industry contribute approximately 9 % and 13 % to the GDP of Fiji. Fiji has a comparatively little labour force of somewhat over 300,000 people around 70 % of whom are employed in agribusiness. Tourism, sugar processing, excavation of gold, Ag etc are its major industries.

Fiji is one of the most developed states in the south Pacific islands with a GDP per capita of $ 4,300. It is extremely endowed in wood, mineral and natural resources. Fiji is a state which is good connected through a web of railroads, airdromes and roadways. It is good connected to other states around air hoses.

The touristry industry of Fiji is one of the top earners of foreign exchange for the state.

The state receives a big figure of tourers from around the universe. This is facilitated by the really high degrees of connectivity that Fiji enjoys with the remainder of the universe.

Therefore, a state like Egypt would gain from a possible influx of tourers from states like Fiji. The grounds why Egypt should promote tourer inflow from Fiji are many, a few of which are listed as follows:

Fiji has a high GDP per capita. This means that the people of Fiji have high disposable incomes. Therefore, there exists a market for tourers into Egypt from Fiji.

Fiji is good connected to Egypt through airdromes in Australia and New Zealand.

Fijian economic system is executing better than many economic systems in the West.

Appraisal of the travel disbursals that a Fijian Family would hold to bear for a trip to Egypt:


For the intent of the appraisal, we have made certain premise for easiness of analysis.

The mean household size is 3. This household constitutes of a male parent, a female parent and a kid under the age of 12.

The disbursals calculated are non for premium installations and adjustment.

The computations are done presuming a holiday of continuance of 3 yearss and 2 darks.

The disbursals calculated would non include any shopping

or other disbursals incurred by the household.

Cost Heads


Transportation system

( Including flights - to and fro )



( 3 yearss and 2 darks )


Assorted Expenses


Entire Expenses


Therefore, an mean household holidaying in Egypt would use near to 6200 Fijian Dollars. This, compared to their one-year household income of 19,000 Fijian dollars, is a really sensible figure and hence, the potency for pulling tourers from Fiji to Egypt is high.