Shifting Sands – an update on latest travel developments across the Middle East

10 March, 2020

The Middle East market has been a story of growth for so many recent years as the development strategies from the likes of Emirates Airline, Etihad Airways and Qatar Airways has firmly placed the Gulf region on global route maps. But things have got more challenging. Political interference has become a norm, airline strategies have been called to attention and flights have actually been banned between some neighbouring nations across the region. Recent activities mean their is even more focus on the region impacting short-term travel to, from and within the area.

Our regular round-up delivers some of the latest key aviation and travel news stories from across the region.


Etihad Airways signs up to IATA pledge to increase female workforce by 25% by 2025

United Arab Emirates (UAE) carrier Etihad Airways has pledged to increase its female workforce by 25% over the next five years, supporting International Air Travel Association's (IATA) voluntary '25by2025' campaign which aims to improve gender balance within the aviation industry. A video has also been broadcasted on Etihad's social media channels which champions the airlines bid for equality by introducing gender-inclusive language for one of its cabin classes. The Arabic translation of Business Class - Business Man Class - has been changed to more neutral language, to refer to the growing number of women in senior positions travelling premium. Currently, more than 36% of Etihad's employees in managerial positions and half of Etihad's UAE national staff are female, according to the carrier. Last year, the airline launched an Emiratisation strategy that focuses on developing talent in technical and specialised aviation roles.


Emirates announces 20 million downloads of mobile app following strong investment in digital channels

Emirates Airline recorded 20 million downloads of its mobile app. Emirates divisional SVP corporate communications, marketing and brand Boutros Boutros stated: "We've made significant investments into Emirates' mobile and digital channels, leveraging native app and cloud capabilities, global best practices in terms of software engineering, cross-functional ways of working, and leading data and marketing technologies". Mr Boutros added the airline will "continue to improve" and add "innovative app features and products" to keep ahead of customers expectations.


IATA working to ensure flow of airline revenues from Lebanon

International Air Transport Association (IATA) is working with Lebanon's Government and the Banque du Liban to ensure the repatriation of airline revenue following the implementation of restrictions on international currency transfers. IATA's VP for Africa and the Middle East Muhammad Ali Albakri commented: "It is difficult but it is still flowing" and added: "The distribution system is still working". Mr Albakri said Lebanon's Government is aware of "how vital air connectivity is to Lebanon" and is "doing everything in their power to make sure that is not disrupted".


flydubai returns to profitability in 2019 despite global grounding of Boeing 737 MAX aircraft

flydubai reported total revenue of AED6 billion (USD1.6 billion) in 2019, down 2.6% year-on-year. The carrier recorded a profit of AED198.2 million (USD54 million) during this period. flydubai CEO Ghaith Al Ghaith said the airline's results were "significantly impacted by the grounding of the Boeing 737 MAX", and while it has "seen a return to profitability" in 2019, this "does not reflect the loss of market position and the unfilled opportunities flydubai could have exploited".


SalamAir inks agreement with Ministry of Manpower

Oman's SalamAir signed an agreement with the Ministry of Manpower, which aims to provide travel services, reservations, dedicated personnel and 24 hour services for the Ministry. SalamAir CEO Captain Mohamed Ahmed said the agreement highlights the airline's "commitment to cooperate closely with the government sector" and reflects its "incessant dedication in preserving its position as being an active member of the Omani society".


CAPACITY SNAPSHOT: Middle East Domestic Seats (as at 09-Mar-2020)Source: CAPA - Centre for Aviation and OAG (NOTE: *These values are at least partly predictive up to 6 months ahead and may be subject to change)


News Briefs

  • Qatar Airways introduced an Inflight VR virtual reality inflight entertainment (IFE) system in mid Feb-2020. The system is available to 'Qsuite' and business class passengers on services from Doha to London and Singapore.
  • Etihad Airways reported yields increased by 1% year-on-year in 2019, driven by capacity discipline, network and fleet optimisation and growing market share in premium and point to point markets. Passenger revenues declined 4% to 4.8 million due to capacity reduction, however route profitability improved during this period.
  • dnata and Hertz Corporation expanded their partnership, adding the Dollar and Thrifty brands to dnata's car rental portfolio. dnata will promote and sell the products and services of all three companies in the United Arab Emirates, Oman, Bahrain and Saudi Arabia.
  • Oman Aviation Group forecasts the total investment in all the phases of Muscat Airport City "would easily exceed USD1.5 billion" over the next 20 years. Its CEO Mustafa Al Hinai explained the group will act as a facilitator for private investment to ensure the project will not be dependent on government investment.
  • Dubai Airports reported all smart gates at Dubai International Airport and Dubai World Central ceased operations for departing passengers, effective 08-Mar-2020. The move is in response to coronavirus concerns.

CAPACITY SNAPSHOT: Middle East International Seats (as at 09-Mar-2020)Source: CAPA - Centre for Aviation and OAG (NOTE: *These values are at least partly predictive up to 6 months ahead and may be subject to change)


Aircraft News

  • LCC flydubai has said that with a current fleet size of 42 aircraft the carrier's ability "to launch new routes and add frequencies will continue to be severely impeded" in 2020. In order to "further minimise disruption" to passengers, the airline is currently exploring options to "extend the term for the lease of aircraft" that were due to leave its fleet in 2021

CAPACITY SNAPSHOT: Intra-Middle East since 2015 (as at 09-Mar-2020)Source: CAPA - Centre for Aviation and OAG (NOTE: *These values are at least partly predictive up to 6 months ahead and may be subject to change)


Route Update

  • UR Airlines plans to commence weekly Baghdad-Ankara from 27-Mar-2020; weekly Baghdad-Amman from 01-Apr-2020; three times weekly Baghdad-Samsun from 30-May-2020; and twice weekly Baghdad-Antalya from 01-Jun-2020. All routes will be flown using Boeing 737 equipment.
  • SriLankan Airlines plans to temporarily suspend Colombo Bandaranaike-Jeddah service, effective 15-Mar-2020 to 30-Apr-2020, due to Saudi Arabia's restrictions on Umrah and pilgrimage travel. The airline will continue to operate services to Riyadh and Dammam.
  • SereneAir reportedly plans to acquire two A330 aircraft in the near future, expanding its fleet to six aircraft and qualifying it to operate international services. The Pakistani airline aims to commence services to Jeddah in Apr-2020, followed by the launch of services to Madinah and the UAE.
  • Aeroflot has decreased Moscow-Tehran frequency to a weekly rotation from 08-Mar-2020. The carrier was scheduled to operate Moscow Sheremetyevo-Tehran five times weekly in Mar-2020, according to OAG.
  • Emirates Airline has suspended reservations for its Dubai-Bangkok-Hong Kong service through to 31-Mar-2020 due to current declines in passenger demand.
  • Korean Air suspended daily Seoul Incheon-Dubai service from 05-Mar-2020 to 12-Apr-2020.