US embassy cable - 05TELAVIV6627

C O N F I D E N T I A L SECTION 01 OF 02 TEL AVIV 006627 
 
SIPDIS 
 
E.O. 12958: DECL: 11/23/2015 
TAGS: ECON, EAIR, ECONOMY AND FINANCE 
SUBJECT: GOI TOURISM OVERVIEW AND PROJECT INITIATIVES 
 
REF: TEL AVIV 05124 
 
Classified By: Economic Counselor William Weinstein for reasons 1.4 (b) 
 and (d). 
 
1. (C) SUMMARY:  Ministry of Tourism (MoT) Marketing Director 
Levi told econoff that 1.7 million tourists have visited 
Israel this year, and brought three billion dollars to the 
Israeli economy.  He stressed that although U.S. travel 
warnings for Israel have been eased, the warnings have hurt 
the Israeli tourism sector.  Levi also stressed that the MoT 
is looking at capitalizing on key areas in Eilat to build 
casinos and in the Galilee to set-up a religious retreat.  He 
said direct flights by Delta Airlines from Atlanta to Tel 
Aviv, scheduled to start in February 2006, will help boost 
the economy and bring many tourists to Jerusalem and other 
sites.  MoT Foreign Press Liaison Pulik said that the 
ministry is also focusing on creating tourism sites in Druze 
and Bedouin villages and towns and that ten million shekels 
has been earmarked for them.  Pulik also touched on regional 
tourism engagement between Israel, Egypt, Jordan and the 
Palestinian Authority.  END SUMMARY. 
 
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Tourism: January to November 2005 
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2. (C) On November 22, econoff met with Ramee Levi, Director 
of Marketing for the Ministry of Tourism.  Levi told econoff 
that 1.7 million tourists have visited Israel this year and 
that he expects this figure to reach 2 million by the end of 
December.  He said 500,000 tourists came from the U.S., 
adding that tourists from France, Germany, and the U.K. 
totaled 590,000.  Note: On November 16, the ministry issued a 
press release claiming that 1,589,700 tourists have visited 
Israel from January to October 2005, a 27 percent increase 
over the same period in 2004.  End Note. 
 
3. (C) Levi claimed that more than 90 percent of tourists go 
to Jerusalem and the Galilee to visit holy sites.  He 
indicated that Eilat is another favorite destination for 
Europeans seeking to escape the winter season, noting that 
the increase in tourism has shored-up the tourism sector, 
created jobs, and given the Israeli economy a boost.  Levi 
said that travel warnings issued by the U.S. in previous 
years hurt Israel's tourism sector, but that the situation 
had improved since the easing of the warnings in mid-2004. 
Levi noted that the warnings were issued despite the fact 
that the security apparatus in Israel is very vigilant and 
active to ensure tourists' safety. 
 
4. (C) He said that there are other tourism projects in the 
planning stage such as a casino strip in Eilat, an 
evangelical center in Galilee, and several pilot projects for 
the Druze and Bedouin.  He added the ministry is also working 
to help Bedouin entrepreneurs start tourism projects in the 
Negev, which will create jobs and generate revenue for their 
community and the Negev in general. 
 
5. (C) Levi commented the budget of the ministry is 20 
million dollars and that it is using all of its resources and 
assets to ensure that it maintains the momentum of bringing 
tourists to Israel.  He claimed that tourists have so far 
spent three billion dollars in 2005 and that this amount 
should increase in 2006, when 2.7 million tourists are 
expected to visit.  He remarked that Delta Airlines will 
start direct flights from Atlanta to Tel Aviv in February 
2006 and that this should bring another 100,000 tourists to 
the country (Reftel). 
 
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Bedouin Tourism and Regional Cooperation 
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6. (C) Econoff met with Jonathan Pulik, head of Foreign Press 
Liaison in the Ministry of Tourism.  Pulik told econoff that 
the ministry has many tourism objectives which are designed 
to help the Israeli economy, especially  minority groups such 
as the Bedouin.  He claimed that 10 million shekels (USD 2.2 
million) has been set aside by the ministry in order to work 
with different groups in the Bedouin community to develop 
tourism and improve the dismal employment conditions in the 
Negev. 
 
7. (C) Regarding regional cooperation, Pulik said that a 
recent meeting took place between tourism ministers from 
Israel, Jordan, Egypt and the Palestinian Authority (PA).  He 
said that they discussed development of joint tourism 
projects, but noted, however, that nothing had gone beyond 
the conceptual stage. 
 
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