Egypt Suez Canal revenues drop 29 pct yr-on-yr in May

CAIRO (Reuters) - Egypt's Suez Canal revenues dropped 29 percent to $342.4 million in May, compared to $479.4 million in the same month last year, a Suez Canal Authority official said on Monday.

Economists are eyeing Suez Canal revenues for effects from piracy off Somalia's coast and recession in major economies, which has reduced the volume of trade between Asia and Europe.

Egypt's central bank governor said last month that April receipts from tourism and the Suez Canal provided a "glimmer of hope" for the country's economy.

Suez revenue in April fell 22.7 percent to $346.9 million.

The canal is an important source of foreign currency for Egypt, along with tourism, oil and gas exports and remittances from Egyptians living abroad.

Analyst Reham El Desoki from Beltone Financial said she expected full year canal revenues to decline 9.6 percent to $4.7 billion, from $5.2 billion in 2007/08.

The Suez official said the number of vessels using the waterway was 1,468 in May, down from 1,482 in April.