Suez Canal revenue bears brunt of global crisis

 
Revenues drop by $1 billion in ten months to October due to fall in number of ships sailing through canal.

ISMAILIYA - The Suez Canal's revenues plunged by one billion dollars in the ten months to October from a year earlier due to the world economic crisis and piracy, an official said on Monday.

"Suez Canal revenue from January 1 until the end of October is 3,009, 534,000 dollars compared with 4,009,569,000 for the same period last year," the official from the Suez Canal authority said.

He said the number of ships passing through the vital waterway fell by 3,730, with 14,355 ships using the canal so far in 2009 compared to 18,085 up to October 2008.

"The global financial crisis affected Suez Canal revenue until May. Revenues have started to climb back as of June," the official said, adding that the piracy problem in the Gulf of Aden had also had an impact on income.

The canal, which connects the Mediterranean Sea and the Red Sea and is one of the world's most heavily used shipping lanes, is Egypt's third-largest source of revenue after tourism and remittances from expatriate workers.

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