Multinational hospitality company Accor has reportedly revealed extensive expansion plans across Africa, with Egypt being a primary area for openings over the next two years.
The hotel operator said they plan to open 30 hotels across Egypt as part of a “rebound” following external factors impacting the industry such as the terrorist attack at an Egyptian resort in Sharm El Sheikh in 2015.
According to news publication Bloomberg, Accor’s chief executive officer for the Middle East and Africa, Mark Willis, said Egypt was resurrecting after 10 years of a “tough situation”, but is now improving.
“Egypt has overtaken Kenya’s coastal region as the preferred destination for European tourists and investors. Revenue per available Accor room has risen 20% year-on-year,” said Willis.
Accor has 143 hotels in Africa and is set to promote its Movenpick brand in the region.
The hotel group will fund the growth with over $1 billion from the Katara Hospitality Fund set up last year for sub-Saharan Africa. Accor is so far the main investor with $500 million, while the Qatar Investment Authority will raise debt and partner in investments.