Egypt's Suez Canal reported a 23 per cent drop in annual revenue for the fiscal year 2023-24, mainly due to the impact of attacks by Yemen's Houthis on ships in the Red Sea.
Total revenue for the 12 months ending on June 30 was $7.2 billion, a decline from $9.4 billion during the same period in the previous year, the Suez Canal Authority said on Thursday.
The number of ships also fell during the period: 20,148 vessels, carrying 1 billion tonnes, transited the canal in the 2023-24 fiscal year, compared with 25,911 with 1.5 billion tonnes in the previous fiscal year.
The waterway remains a vital pillar for the stability and sustainability of global supply chains, Osama Rabie, head of the Suez Canal Authority, said during a meeting in Cairo with the US Central Command chief General Michael Kurilla on Thursday.
He stressed that the current tensions in the Red Sea not only affect the Suez Canal but also the maritime transport market, global trade and international supply chains.
The Houthis, aligned with Iran, have been targeting ships in the Red Sea as part of their campaign to support their ally, Hamas, in its war with Israel in Gaza.
The rebels have targeted more than 70 vessels with missiles and drones since they began their attacks in November, which have so far killed four sailors, according to a report by the Associated Press.
The Houthis have also seized one ship and sunk two since November, according to the Joint Maritime Information Centre (JMIC), recently established by a US-led multinational naval coalition formed to secure the Red Sea, Bab Al Mandeb and Gulf of Aden.
The attacks have escalated in recent months, with the Houthis claiming responsibility for targeting a Panama-flagged, Israeli-owned vessel and a Liberian-flagged, Marshall Islands-owned oil tanker on Monday, JMIC said.
Mr Rabie said security challenges in the Red Sea have driven many ship owners and operators to seek alternative routes, negatively affecting transit rates through the canal.
Taking other routes has led to increased voyage durations, higher operational costs and harmful environmental effects due to increased carbon emissions, as well as port congestion and delayed arrival of goods, he added.
This week, AP Moller-Maersk said the "cascading impact of these disruptions extends beyond the primary affected routes, causing congestion at alternative routes and trans-shipment hubs essential for trade with Far East Asia, West Central Asia and Europe".
Maersk and other shipping companies have been diverting vessels round Africa's Cape of Good Hope since December to avoid the Red Sea, with the longer voyage times pushing freight rates higher.
The Suez Canal, connecting the Mediterranean to the Red Sea, is a vital artery for global trade and a critical component of Egypt's economy.
The 190km waterway enables the passage of about 12 per cent of the world's seaborne trade, including oil, natural gas and other essential commodities.
For Egypt, which continues to contend with a severe economic crisis, the Suez Canal is a major source of foreign currency income that generates billions of dollars in annual revenue and supports numerous jobs in the country's maritime and logistics sectors.
Despite the challenges, Mr Rabie said the Suez Canal Authority continues to mitigate the impact of the current situation by communicating with clients and through the introduction of new navigational services.
The authority also highlighted its maritime safety and security system for ships transiting the canal, with Mr Rabie promising that the Egyptian Armed Forces are being deployed to secure vessels.
Asia Cup 2018 final
Who: India v Bangladesh
When: Friday, 3.30pm, Dubai International Stadium
Watch: Live on OSN Cricket HD
Killing of Qassem Suleimani
Key facilities
- Olympic-size swimming pool with a split bulkhead for multi-use configurations, including water polo and 50m/25m training lanes
- Premier League-standard football pitch
- 400m Olympic running track
- NBA-spec basketball court with auditorium
- 600-seat auditorium
- Spaces for historical and cultural exploration
- An elevated football field that doubles as a helipad
- Specialist robotics and science laboratories
- AR and VR-enabled learning centres
- Disruption Lab and Research Centre for developing entrepreneurial skills
What sanctions would be reimposed?
Under ‘snapback’, measures imposed on Iran by the UN Security Council in six resolutions would be restored, including:
- An arms embargo
- A ban on uranium enrichment and reprocessing
- A ban on launches and other activities with ballistic missiles capable of delivering nuclear weapons, as well as ballistic missile technology transfer and technical assistance
- A targeted global asset freeze and travel ban on Iranian individuals and entities
- Authorisation for countries to inspect Iran Air Cargo and Islamic Republic of Iran Shipping Lines cargoes for banned goods
The biog
Name: Mohammed Imtiaz
From: Gujranwala, Pakistan
Arrived in the UAE: 1976
Favourite clothes to make: Suit
Cost of a hand-made suit: From Dh550
More on Quran memorisation:
UAE currency: the story behind the money in your pockets
The biog
From: Upper Egypt
Age: 78
Family: a daughter in Egypt; a son in Dubai and his wife, Nabila
Favourite Abu Dhabi activity: walking near to Emirates Palace
Favourite building in Abu Dhabi: Emirates Palace
The Melbourne Mercer Global Pension Index
The Melbourne Mercer Global Pension Index
Mazen Abukhater, principal and actuary at global consultancy Mercer, Middle East, says the company’s Melbourne Mercer Global Pension Index - which benchmarks 34 pension schemes across the globe to assess their adequacy, sustainability and integrity - included Saudi Arabia for the first time this year to offer a glimpse into the region.
The index highlighted fundamental issues for all 34 countries, such as a rapid ageing population and a low growth / low interest environment putting pressure on expected returns. It also highlighted the increasing popularity around the world of defined contribution schemes.
“Average life expectancy has been increasing by about three years every 10 years. Someone born in 1947 is expected to live until 85 whereas someone born in 2007 is expected to live to 103,” Mr Abukhater told the Mena Pensions Conference.
“Are our systems equipped to handle these kind of life expectancies in the future? If so many people retire at 60, they are going to be in retirement for 43 years – so we need to adapt our retirement age to our changing life expectancy.”
Saudi Arabia came in the middle of Mercer’s ranking with a score of 58.9. The report said the country's index could be raised by improving the minimum level of support for the poorest aged individuals and increasing the labour force participation rate at older ages as life expectancies rise.
Mr Abukhater said the challenges of an ageing population, increased life expectancy and some individuals relying solely on their government for financial support in their retirement years will put the system under strain.
“To relieve that pressure, governments need to consider whether it is time to switch to a defined contribution scheme so that individuals can supplement their own future with the help of government support,” he said.
The biog
Date of birth: 27 May, 1995
Place of birth: Dubai, UAE
Status: Single
School: Al Ittihad private school in Al Mamzar
University: University of Sharjah
Degree: Renewable and Sustainable Energy
Hobby: I enjoy travelling a lot, not just for fun, but I like to cross things off my bucket list and the map and do something there like a 'green project'.
Pharaoh's curse
British aristocrat Lord Carnarvon, who funded the expedition to find the Tutankhamun tomb, died in a Cairo hotel four months after the crypt was opened.
He had been in poor health for many years after a car crash, and a mosquito bite made worse by a shaving cut led to blood poisoning and pneumonia.
Reports at the time said Lord Carnarvon suffered from “pain as the inflammation affected the nasal passages and eyes”.
Decades later, scientists contended he had died of aspergillosis after inhaling spores of the fungus aspergillus in the tomb, which can lie dormant for months. The fact several others who entered were also found dead withiin a short time led to the myth of the curse.
Volvo ES90 Specs
Engine: Electric single motor (96kW), twin motor (106kW) and twin motor performance (106kW)
Power: 333hp, 449hp, 680hp
Torque: 480Nm, 670Nm, 870Nm
On sale: Later in 2025 or early 2026, depending on region
Price: Exact regional pricing TBA
War 2
Director: Ayan Mukerji
Stars: Hrithik Roshan, NTR, Kiara Advani, Ashutosh Rana
Rating: 2/5
The specs
Engine: 4.0-litre flat-six
Torque: 450Nm at 6,100rpm
Transmission: 7-speed PDK auto or 6-speed manual
Fuel economy, combined: 13.8L/100km
On sale: Available to order now
A list of the animal rescue organisations in the UAE
COMPANY PROFILE
Name: Kumulus Water
Started: 2021
Founders: Iheb Triki and Mohamed Ali Abid
Based: Tunisia
Sector: Water technology
Number of staff: 22
Investment raised: $4 million
FIXTURES
All kick-off times 10.45pm UAE ( 4 GMT)
Tuesday
Mairobr v Liverpool
Spartak Moscow v Sevilla
Feyenoord v Shakhtar Donetsk
Manchester City v Napoli
Monaco v Besiktas
RB Leipzig v Porto
Apoel Nicosia v Borussia Dortmund
Real Madrid v Tottenham Hotspur
Wednesday
Benfica v Manchester United
CSKA Moscow v Basel
Bayern Munich v Celtic
Anderlecht v Paris Saint-Germain
Qarabag v Atletico Madrid
Chelsea v Roma
Barcelona v Olympiakos
Juventus v Sporting Lisbon
