.jpg)
.png)
Protests to blame for Egypt’s failing economy
Experts say Egypt is risking financial crisis as treasury funds and tourism rates decline as a result of protesters in the street.
Egypt's failing economy is partly caused by declining rates of tourism as result of protests
Analysts predict a financial crisis in Egypt as protesters continue to demonstrate against military rulers.
The country’s economy is already in shambles according to experts at a time where many hoped winter tourism would increase.
As a result of failing tourism rates, guides are resorting to selling sex or offering hashish in order to make a living.
Economists said that Egypt only has enough money in the treasury to get the country through the year but will begin to feel the pressure in just a few months time.
The annual growth rate has decreased from 7% to 1% in just months and stock markets have also shown daily decreases while foreign reserves fell by almost 40% in 2011.
Egypt’s net foreign reserves fell to $22 billion from $36 billion as of October since 2010.
The protests have been blamed for the drop that have been ongoing since President Hosni Mubarak was pushed out of office in February.
