Suez Canal revenues surge by 35% in Q1 2023, reports Egyptian Presidency

CAIRO – 11 April 2023: Egyptian President Abdel Fattah al-Sisi convened a meeting today with Prime Minister Mostafa Madbouly, Lt. Gen. Osama Rabie, Chairman of the Suez Canal Authority, Brig. Gen. Amir Sayed Ahmed, Presidential Advisor for Urban Planning, and Mostafa El-Digheishi, Chairman of the Board of Directors of the Red Sea Ports Authority.

According to Presidential spokesperson Ahmed Fahmi, the President was briefed on the latest developments in navigation movement in the Suez Canal during the first quarter of this year.

The data presented revealed a notable 20% increase in the number of ships passing through the canal compared to the same period last year, generating an estimated $2.3 billion in revenue, representing a 35% increase from last year. The canal also achieved its highest daily crossing rate in history on March 13, with 107 ships carrying a total of 6.3 million tons.

During the meeting, Lt. Gen. Osama Rabie presented development projects for the navigational route of the Suez Canal, as well as efforts of the Authority to modernize its fleet of tugs and dredgers to better serve its pivotal role in ensuring the safety and assistance of passing ships.

In response, President al-Sisi directed the continuation of the strategy to develop the Suez Canal and its navigational course, as well as all associated infrastructure, to ensure its continued global recognition for its efficiency and capabilities as a key player in international navigation and trade.

A SIGNIFICANT SHIPPING ROUTE

The Suez Canal is one of the most important shipping routes in the world, connecting the Mediterranean and Red Seas, and providing a shortcut between Europe and Asia. It is approximately 120 miles long and can accommodate some of the world's largest vessels.

Over the years, the Egyptian government has invested heavily in the development and modernization of the canal and its infrastructure. In 2015, Egypt launched the New Suez Canal Project, a major expansion project that involved digging a new parallel canal alongside the existing one, as well as deepening and widening certain sections of the canal.

The project was completed in record time, and it has significantly increased the canal's capacity, allowing it to handle more ships and reduce waiting times. The expansion has also had a positive impact on the Egyptian economy, with the canal generating billions of dollars in revenue and providing thousands of jobs.

In addition to the canal, the Egyptian government has also invested in the development of the surrounding area, including the construction of new ports and logistics centers. The aim is to create an integrated logistics hub that can handle not just the traffic passing through the canal but also the growing demand for trade and shipping in the region.

Overall, the Suez Canal remains a vital artery of global trade, and the Egyptian government's continued investment in its development and modernization is ensuring that it remains competitive and efficient in the years to come.