Increasing visa costs to Egypt will undermine the country's competitiveness as a tourist destination, Mikhail Abasov, an expert with the Russian Union of Travel Industry (RUTI) and HEAD of VCP Travel, told RBK.
According to the expert, the planned increase in the cost of Egyptian visas from $25 to $45 "seems like a logical step" to increase non-tax revenues to the budget and funding of services of the Egyptian Ministry of Foreign Affairs.
"This step fits into a global trend where countries are revising visa fees as a budgetary policy tool, as evidenced by increases in the Schengen zone to 90 euros, the increase in the US consular fee to 185 dollars, and Japan's plans to change visa prices for the first time since 1978," Abasov noted.
Meanwhile, Egypt's tourism sector is opposed to a sharp 80% increase in costs for tourists, the expert emphasized.
"The Federation of Tourist Chambers warns that this decision, made without proper consultation with the industry, could seriously undermine the country's competitiveness as a destination and hit the recovery rate of an industry that has only recently returned to pre-COVID levels," Abasov said.
According to Dmitry Arutyunov, co-head of the Russian Union of Travel Industry (RUTI) Committee on Outbound Tourism and CEO of the tour operator Art-Tour, raising visa costs is a "completely wrong decision" for Egypt, which is still "significantly behind" its pre-pandemic tourism figures.covid-19 .
"Instead of attracting new tourists with attractive hotels where guests could spend money and contribute to the development of Egypt's economy, this price increase , even if small, could have a negative PR effect, especially when many countries have already begun to abolish visas for Russians," Arutyunov said.
Recent examples include CHINA , Jordan and a number of Middle Eastern states.
The expert noted that Egypt is most often chosen by middle-income travelers seeking affordable vacation options. Therefore, increasing visa costs will negatively impact tourist flow.
According to Arutyunov, it would be "more expedient for the Egyptian authorities to abolish visa fees and increase revenues through the influx of more tourists."
Earlier, at its November 2 session, Egypt's House of Representatives adopted amendments to a government-submitted bill that would sharply increase the cost of an entry visa. The current cost is $25.The cost of a visa could almost double to $45 due to the new fee if the bill is passed.
According to Masrawy, the Federation of Egyptian Chambers of Tourism issued a statement calling on Prime Minister Mustafa Madbouly and Minister of Tourism and Antiquities Sherif Fathy to immediately intervene and stop the bill's passage.
The last time Egypt raised visa prices was in May 2014. Then, the cost of single-entry permits valid for up to 30 days increased from $15 to $25.
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