September 2013: mixed results for Middle-Eastern hoteliers

2 min reading time

Published on 29/10/13 - Updated on 17/03/22

Egypte

In September 2013, some Middle Eastern destinations such as Egypt, Lebanon and Jordan have remained on a negative trajectory, while others have maintained growth rates at high levels, as shown by the data collected by MKG Hospitality.

After a new wave of violence this summer, Egyptian hoteliers are still unable to see the end of the tunnel. Their Revenue per available room is continuing on its downturn during September, particularly in the larger cities like Alexandria (-35% RevPAR) and Cairo (-55% RevPAR). Relatively unaffected by the impact of the violence on tourism to date, Red Sea beach resorts are now hit by the decline in tourism, as shown by a 56% drop in RevPAR for hotels in the city of Hurghada. The prospects of Egyptian hoteliers seem to be decaying, while the Minister of Tourism measured disastrous results of the summer season, with a 45% decline in arrivals during the period, and estimated losses of a billion dollars in the sector.

Also strongly affected by the Arab Spring revolutions, Tunisian hoteliers seem to be recovering with a 7.8% RevPAR improvement in September. During the first nine months of the year, tourism revenue in the country rose by 2.3%, even if it remains far below pre-revolution levels. While hoteliers in Algeria continue on a positive trend (+19.9% RevPAR), this is not the case for Morocco. The country's activity indicators are negative this month with a decline in Casablanca's performances (-16% RevPAR), which was not compensated for by a strong market in Marrakech (+13% RevPAR).

Turkey was also able to maintain its hotel performances during September, thanks in particular to the high activity in seaside tourism. However, Istanbul is still recovering from the protests that took place this summer and recorded a further decline in Revenue per available room, in the order of 5.6%.

The situation in Syria continues to affect the rest of the Levant, such as Lebanon which has posted a 30.8% drop in RevPAR and Jordan with a 6% loss in RevPAR, due to a sharp decline in business as well as leisure tourism activities.

Looking to the Arabian Peninsula, only Qatar and Kuwait posted losses in their Revenues per available room, of 3.7% and 3% respectively. Saudi Arabia (+16% RevPAR) and the United Arab Emirates (+13% RevPAR) posted the strongest increases in the peninsula. Yemen is also on a positive curve, but less so than last year.
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