UAE: Airfares have peaked, set to stay at high level till summer

UAE: Airfares have peaked, set to stay at high level till summer

UAE - Airfares have reached their peaks and are likely to stay at that level for the next few months, said Ghaith Al Ghaith, CEO, flydubai.

Airfares have increased dramatically in the last year, driven by massive post-pandemic demand and high oil prices in the wake of the Russia-Ukraine crisis.

The UAE airlines have been increasing seating capacity and have announced the addition of a number of new routes.

“Airfares are still very strong as there is a huge increase in fuel prices. They are at their peaks as it is a supply and demand issue. I believe it (airfare) will stay there till summertime,” Ghaith said during an interview on the first day of the four-day Arabian Travel Market 2023, which opened at the Dubai World Trade Centre on Monday.

Flydubai chief said the airline operates Boeing’s 737 MAX aircraft which is 14 per cent more efficient and that helps a lot in terms of offering better pricing to customers.

He added that demand for business class is growing and therefore, it introduced a new business class. Al Ghaith said this will also help make its synergy better with Dubai’s flagship carrier Emirates.

The airline added 12 destinations this year and is likely to add