Al-Sisi announces country experienced significant loss of USD6 billion in revenue from Suez Canal
Date
10/1/2024 8:32:07 AM
(MENAFN) Egyptian President Abdel Fattah al-Sisi announced on Sunday that the country has experienced a significant loss of USD6 billion in revenue from the Suez Canal due to escalating geopolitical tensions in the region. During a police graduation ceremony, Sisi indicated that earnings from this crucial waterway have decreased by 50 to 60 percent over the past eight months, highlighting the economic repercussions of the ongoing unrest.
Sisi emphasized the importance of managing the country's affairs to maintain stability while avoiding involvement in conflicts that could jeopardize security. He cautioned that current tensions could escalate further, potentially expanding into broader conflicts.
The backdrop to these regional tensions includes Israel's aggressive military actions in the Gaza Strip, which have resulted in the deaths of nearly 41,600 individuals, primarily women and children, since Hamas launched an attack on October 7, 2023. This situation not only impacts the humanitarian landscape but also poses economic challenges for Egypt.
The Suez Canal, a vital artery for global trade, serves as the shortest shipping route between Europe and Asia and stands as one of Egypt's main sources of foreign currency. The sharp decline in revenue from this key maritime route underscores the far-reaching implications of geopolitical instability in the region, affecting not just local economies but also global trade dynamics. As tensions continue to rise, the Egyptian government faces the dual challenge of safeguarding national interests while navigating a complex international landscape.
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