The Middle East aviation market is experiencing a remarkable surge, emerging as the world’s second-fastest growing aviation region. This is according to a recent report by OAG, a leading travel data provider.
Titled “Middle East Skies: A New Era of Competition, Capacity, and Growth,” the report highlights a 5% market expansion since 2019, trailing only South Asia’s 12% growth.
This dynamic growth is fueled by a powerful combination of low-cost carriers (LCCs) doubling their market share and legacy carriers maintaining regional dominance.
We explore the key trends, competitive dynamics, and future opportunities shaping this vibrant aviation landscape.
Low-Cost Carriers Reshape the Market
Low-cost carriers are transforming the Middle East aviation scene. In 2024, LCCs accounted for 29% of the region’s total capacity, a significant leap from just 13% a decade ago.
Over the past ten years, LCC capacity has grown at an impressive annual rate of 11.5%, far outpacing traditional carriers. Leading this charge is flynas, the region’s fastest-growing airline, which boosted its capacity by 63% compared to 2019.
Close behind is flydubai, with a 56% capacity increase. Together, these carriers operated nearly 14.4 million departing seats in 2024, with flynas slightly ahead by 25,000 seats.
This rapid LCC expansion reflects a shift in traveler preferences, with budget-conscious passengers driving demand for affordable fares.
As LCCs continue to grow, they are challenging the dominance of full-service carriers and reshaping competition across the region.
Legacy Carriers Maintain Stronghold
Despite the rise of LCCs, legacy carriers like Emirates, Qatar Airways, and Saudia Group remain regional powerhouses. These three carriers collectively operated 127 million departing seats in 2024, solidifying their positions as the top three airline groups in the Middle East.
Emirates and Qatar Airways also rank among the top 20 global airlines by capacity and the top 10 by available seat kilometers, underscoring their global influence.
Legacy carriers rely heavily on connecting traffic, with 84% of Qatar Airways’ passengers, 77% of Etihad’s, and 66% of Emirates’ travelers using their hubs for onward journeys.
This connectivity strengthens the Middle East’s role as a global aviation hub, linking continents and driving passenger traffic.
Competitive Routes and Regional Trends
The Middle East’s busiest routes are highly competitive. The Cairo–Riyadh corridor stands out, with eight airlines vying for passengers. Other key routes, such as Dubai–Riyadh and Cairo–Jeddah, also see intense competition.
Meanwhile the Dubai–Heathrow route is more concentrated, with four airlines in operation. These competitive hotspots highlight the region’s strategic importance and the battle for market share among carriers.
Egypt emerges as a focal point for LCC growth, particularly in the African market. For instance, 96% of flyadeal’s African capacity, 81% of flynas’s, and 73% of Air Arabia’s Middle East–Africa capacity are dedicated to Egypt.
This trend underscores Egypt’s growing appeal as a destination and a hub for affordable travel.
A Bright Future for Middle East Aviation
Filip Filipov, COO of OAG, emphasizes the region’s growth potential. “The Middle East’s strategic position as a global hub, combined with the dynamic expansion of both low-cost and network carriers, is driving unprecedented opportunities.”
“This vibrant market is setting the stage for advancements in aviation technology and passenger experience.”
As the Middle East aviation market continues to grow, the interplay between LCCs and legacy carriers will shape its future.
With increasing competition, technological innovation, and a focus on passenger experience, the region is poised to further strengthen its position as a global aviation leader.
Buy Our Magazine – April Edition Now Out!
