Orascom Development‑Egypt is gearing up to reopen five previously shuttered hotels in the resort town of Taba, with operations to roll out gradually in line with rising demand. According to the company’s head of investor relations, Ahmed Abou El‑Ala, the hotels were closed during the Gaza conflict but demand is now returning. The group, which currently owns six hotels in the area, has operated only one 503-room property since October 2023.
In the first half of 2025 the Taba hotel cluster achieved revenues of around EGP 100 million, representing a 60 percent increase compared to the same period in 2024. This momentum is viewed as a strong signal that the destination is rebounding. According to earlier figures, in the first nine months of 2023 — before the war — revenues for three hotels in Taba stood at about EGP 428 million at a 45 percent occupancy rate.
Orascom plans to ramp up operations toward a full capacity of 2,349 rooms in Taba, responding to the improving environment and inbound tourism trends. Analysts note that reopening these hotels is both a strategic move to capture pent-up demand and a signal of confidence in Egypt’s Red Sea tourism corridor. “When a developer moves from one operational hotel to five, it reflects belief that occupancy and rates will recover meaningfully,” said hospitality analyst Dr Helena Wu.
The shift comes amid a broader push in Egypt’s tourism sector to bounce back after regional instability. For Orascom, the relaunch of the Taba hotels provides a strong operational lever to support full-year performance. For the Taba Heights destination, the move may mark a turning point.
