KLM to suspend flights to and from Egypt citing economic reasons
Royal Dutch airline KLM has announced it is temporarily suspending flights to and from Cairo from early next year in what it attributes to economic reasons.
According to a statement from the airline, the devaluation of the Egyptian pound and restrictions imposed by the country's central bank on the transfer of foreign currency out of Egypt are behind the decision.
It says its Cairo-Amsterdam service will be suspended from Jan. 8.
KLM's decision is testimony to the shortage of foreign currency in Egypt, a problem partially caused by the decimation of the local tourism industry by years of turmoil and by a drop in remittances from Egyptian expatriates.
Egypt is widely expected to devalue or float its currency as part of an ambitious economic reform plan tentatively agreed last month with the International Monetary Fund.
