Securing the Prize for the Middle East

Securing the Prize for the Middle East Understanding the opportunities and challenges on the road to becoming a dominant global travel hub What's 94 trillion What's Driving it? USD has been Preventing it? announced in travel and tourism projects in the Middle East 2 billion Growth of emerging Geographical position People are within 2.5 HOURS reach Fairness and Regulatory complexity economics transparency by air from the Middle East International air travel patterns change with the emergence of BRIC economies and growth of markets The central position connects more major global destinations via a single non-stop flight than any other hub. The number of tourists to the Middle East is Airlines, airports and There is the need for the aviation authorities need to work together as visas, security and air control can differ from country to country. Middle East to operate with a high level of business transparency projected to double to 136 million in Africa and Latin America. by 2020, compared with 54 million in 2008 It is necessary to demonstrate there is a Strong economic position compared with G7 Investment in airlines (established carriers and new LCCS) 7 billion An idea suggested in the report is the creation of a United Arabian Sky policy. split between regulation, funding and ownership of airlines and airport 2008 2020 infrastructure. USD is being invested in hotel projects between 2010 and 2013 The Middle East shows The national carriers have maintained investment levels placing nearly half By 2025 strong GDP growth, particularly when compared with the G7 7 billion of all orders for 106 Airport and airline over capacity the new The need to form people will be within reach via countries. Airbus A380. alliances out of 234 orders for a single flight Problems may arise due to over investment in the Airbus 380 have been placed by Middle East carriers infrastructure and airline The major Middle East carriers currently have an independent stance towards global alliances. The development of alliances is a key part of the aim to become the world's dominant hub, There is also the benefit Investment in airport and IT infrastructure New tourism, intra- regional travel and specialisation capacity. Dubal, Abu Dhabi and Qatar, all close to each other, continue to Invest heavily in transport, real estate and tourism infrastructure. $86 billion USD is earmarked for Middle East airport development. AI Maktoum International Airport in Dubai has the aim of becoming the world's largest airport by 2022. Focus for Action to overcome the barriers facing the development of the global hub Religious travel is a major factor, with 3 million pilgrims visiting Mecca in the month of Haj, and 2 million visit as Umrah pilgrims during the month of Ramadan. • Build a more effective regulatory framework across the region • Enhance greater financial transparency • Foster a greater understanding of traveller behaviour and needs in order to offer services and facilities that address the needs specific to those people travelling to, from and within the Middle East of greater connections between airlines in the • Middle East carriers should take a look at code sharing agreements and membership of airline alliances Mitigate the risks of over- development by learning from issues uncovered in the global down turn Middle East. • Promote greater financial engagement from foreign as well as national sources To read the full report please visit: www.amadeus.com/globaltravelhub Trends for Brighter, Bolder, Better travel AMADEUS Your technology partner