Egypt: Suez Canal revenues fall 23.4% to $7.2 billion due to attacks by Yemen's Houthi rebels

The waterway linking the Mediterranean to the Red Sea usually handles around 12% of the world's maritime trade, and is one of the most important sources of foreign currency for the most populous country in the Arab world.

Revenues from the Suez Canal fell by 23.4% in the 2023/2024 financial year (1 July/30 June) compared with the previous year, to $7.2 billion, due to attacks on ships in the Red Sea by Yemen’s Houthi rebels, Suez Canal Authority (SCA) chairman Osama Rabie (pictured) announced on Thursday 18 July 2024.

Mr Rabie also revealed that the number of ships passing through this waterway linking the Mediterranean to the Red Sea fell to 20,148 during the period compared with 25,911 during the 2022/2023 financial year.

For several weeks, the Houthi rebels have been stepping up attacks on ships in the Red Sea in ‘solidarity’ with the inhabitants of the Gaza Strip, where the conflict between Israel and the Palestinian movement Hamas has claimed nearly 48,000 victims since 7 October 2023.

Since mid-December 2023, several international shipping companies have decided to divert their ships to avoid passing through the Suez Canal.

This shortest sea route between Asia and Europe, through which 12% of world trade normally passes, represents a major source of foreign currency for Egypt.