Airlines and airports in the Middle East and Africa (MEA) have significantly increased their technology investments over the past year, but uneven spending priorities are undermining the overall impact, according to a new industry report.

The Air Transport IT Insights 2025 study by SITA draws on surveys of 70 airlines and 370 airports worldwide. It comes as the aviation sector faces mounting challenges, including rising fuel costs, supply chain constraints, and geopolitical tensions.

The report shows that airlines in the MEA region are leading the push toward digital transformation. All surveyed carriers increased their IT budgets in 2025, marking the strongest commitment globally. By contrast, only 44 percent of airports in the region raised their technology spending, while 12 percent indicated plans to reduce investment.

This disparity is reflected in digital readiness. Around 69 percent of airlines in the region have established data platforms, compared with just 26 percent of airports—the widest gap recorded worldwide.

According to SITA, the lack of alignment between stakeholders is limiting the benefits of record technology spending. Without seamless data exchange between airlines, airports, ground handlers, and government authorities, operational efficiency gains remain constrained.

Globally, the aviation industry invested $50.8 billion in technology in 2025. However, fragmented systems and limited coordination continue to restrict returns. The report notes that the absence of real-time operational visibility hampers decision-making, increases costs, and reduces the ability to respond quickly to disruptions.

The financial impact is already evident. The International Air Transport Association estimates that delays alone cost the industry around $30 billion annually, a figure exacerbated by ongoing disruptions linked to conflicts in the Middle East and other global pressures.

Industry analysts say the findings highlight structural challenges in how aviation stakeholders approach technology investment. Airlines, which control their own operations and customer data, have been quicker to adopt advanced tools such as artificial intelligence and data analytics. Airports, however, operate as multi-user environments involving airlines, regulators, and service providers, making coordination more complex.

Selim Bouri, SITA’s president for the Middle East, Africa and Türkiye, warned that the divergence in investment strategies is a growing concern. He noted that traditional approaches, such as expanding airport infrastructure or increasing fleet size, are no longer sufficient to meet rising demand or manage increasingly complex disruptions.

While airlines are investing heavily in digital solutions to improve efficiency and sustainability, many airports remain focused on long-term physical expansion projects. This imbalance can create bottlenecks, offsetting gains achieved in the air with inefficiencies on the ground.

The report suggests that technology-driven solutions could deliver faster and more cost-effective results. Around 40 percent of airlines are already using AI-based tools to optimise flight routes and reduce fuel consumption, achieving savings of between three and 10 percent per flight.

However, the benefits of such innovations remain limited without system-wide integration. Currently, only about 20 percent of airlines and 40 percent of airports share operational data with key partners in real time.

Bouri attributed this to the complexity of the aviation ecosystem, where multiple stakeholders rely on different systems and data standards. While integration technologies are available, progress depends on coordinated investment and the adoption of common frameworks.

Efforts are underway to address these challenges through industry initiatives focused on standardising digital identity systems and data formats. Nevertheless, infrastructure gaps—particularly in developing regions—remain a significant barrier. More than half of airports worldwide still prioritise basic IT and telecommunications upgrades.

Financing constraints further complicate progress. Airport operators often depend on government funding and partnerships with airlines, leading to lengthy negotiations over cost-sharing arrangements. In regions with limited resources, this slows the pace of digital transformation.

Despite these challenges, the report highlights opportunities for emerging markets, particularly in Africa, to adopt modern, scalable technologies without the burden of legacy systems. By implementing modular and interoperable solutions from the outset, airports could accelerate returns while preparing for future growth.

In 2025, airlines globally allocated $36 billion to IT spending, representing 3.6 percent of revenue, while airports invested $14.8 billion, or 7.3 percent of revenue. Much of this funding is directed toward improving operational resilience, including real-time flight management, passenger processing, and customer service systems.

Artificial intelligence is becoming a central focus. The report finds that 63 percent of airlines already use AI in operations control for disruption management, aircraft allocation, and crew scheduling. A further 79 percent plan to prioritise generative AI technologies in the coming year.

However, SITA CEO David Lavorel said the next phase of digital transformation will depend less on new tools and more on connecting existing systems effectively. He emphasised that while the industry is investing heavily in AI, the lack of integrated data infrastructure remains the primary obstacle to maximising its potential.

Source: ZAWYA

Saudi Arabia’s national carrier, Saudia, secured the top position among airlines worldwide for on-time performance in June, while its low-cost subsidiary flyadeal emerged as the leading carrier in the Middle East and Africa, according to aviation analytics company Cirium.

The latest Cirium report showed that Saudia achieved an on-time arrival rate of 92.38% and an on-time departure rate of 93.02% across 13,350 flights during the month. Meanwhile, flyadeal operated 5,150 flights and recorded an on-time arrival performance of 95.42%, alongside an on-time departure rate of 96.63%.

The achievement came during one of the busiest periods of the year for Saudi aviation, with June coinciding with the large-scale return of Hajj pilgrims to their home countries and the beginning of the summer travel season.

Saudia Group said the strong results reflected the effectiveness of its integrated operational framework, supported by coordinated efforts across its business units and close collaboration with aviation industry partners. The airline noted that this approach enabled it to maintain high levels of punctuality despite increased traffic volumes and operational demands.

The group also highlighted the role of advanced digital platforms and artificial intelligence-driven technologies in improving operational performance. These systems enhanced planning accuracy, strengthened forecasting capabilities and supported real-time decision-making, helping the airline maintain operational discipline and flexibility across both scheduled and additional flights.

The latest rankings underscore Saudia Group’s continued focus on operational reliability and service efficiency as it manages growing passenger demand across its expanding network.

Source: TradeArabia News Service

Air Tanzania has overhauled its international growth strategy following its exclusion from the European market, shifting its focus toward Eastern Europe, Asia and the Middle East through a series of new routes and network expansions.

The state-owned carrier has been unable to pursue its planned London service since the European Union imposed restrictions on the airline and other Tanzanian operators over safety concerns. In response, Air Tanzania has redirected its long-haul ambitions eastward, expanding services to destinations including Russia, Oman, India, China and the Gulf region.

A key milestone in this strategy was the launch of direct flights between Dar es Salaam and Moscow on July 1. The service operates three times weekly, on Mondays, Wednesdays and Fridays, with return flights routed through Zanzibar. The route places Air Tanzania among a small group of African airlines offering nonstop connections to the Russian capital, alongside Ethiopian Airlines and EgyptAir.

The airline is also preparing to begin direct operations between Dar es Salaam and Muscat later this month, with return services via Zanzibar. The route will introduce competition on a market currently served only by Oman Air. Additional expansion plans include the resumption of Dubai flights from August 1, an increase in Mumbai frequencies from four weekly services to daily operations, and the addition of a new cargo frequency to Guangzhou.

According to Air Tanzania Company Limited (ATCL), the expansion reflects a broader strategy focused on commercial opportunities rather than simply replacing lost European routes.

Jerry Ngewe, ATCL’s public relations manager and spokesperson, said each destination has been selected following detailed operational and commercial assessments. He noted that Mumbai serves as a key centre for trade, healthcare and business travel, Guangzhou supports growing economic ties between Tanzania and China while offering cargo potential, and Moscow provides access to an emerging tourism market.

The airline’s strategic shift follows regulatory action by the European Union Aviation Safety Agency (EASA), which cited safety concerns when it barred Air Tanzania from operating in Europe in December 2024. In June 2025, the EU expanded its restrictions by placing all Tanzanian airlines on its Air Safety List, citing deficiencies in oversight by the Tanzania Civil Aviation Authority (TCAA). The latest update issued last month confirmed that Tanzanian carriers remain prohibited from flying to European destinations.

Despite the restrictions, ATCL maintains that its eastern expansion is driven by demand rather than necessity. Ngewe said the airline sees strong growth opportunities in markets supported by trade, tourism, investment flows and government cooperation agreements, while maintaining a globally focused long-term strategy.

Industry analysts have expressed optimism about the carrier’s approach. Dickson Omondi, former head of marketing at Kenya Airways, described Moscow as a largely untapped opportunity and said Air Tanzania is positioning itself ahead of competitors that may later enter the market.

Tourism is expected to play a central role in the success of the new routes. Tanzania has increased its international tourism profile in recent years, while Russian travel to African destinations has grown since the outbreak of the Ukraine conflict and the imposition of sanctions on Moscow.

Sean Mendis, an aviation commentator and former operations executive at Africa World Airlines, said Russian visitor numbers to Africa have expanded significantly since 2022, creating opportunities for destinations such as Tanzania to attract new travellers and strengthen regional connectivity.

Historically, Russia has represented a relatively small tourism market for Tanzania. According to Tourism Minister Ashatu Kijaji, the country welcomed approximately 17,000 Russian visitors last year. However, officials expect that figure to rise significantly. Following President Samia Suluhu Hassan’s recent visit, Kijaji said Tanzania anticipates more than 200,000 visitors from Moscow this year as awareness of the destination grows.

Analysts also point to broader economic trends, including the growing influence of BRICS, as a factor supporting demand. The bloc now comprises Brazil, Russia, India, China, South Africa, Egypt, Ethiopia, Indonesia, Iran, Saudi Arabia and the United Arab Emirates, creating new opportunities for trade and business travel across emerging markets.

Air Tanzania reports encouraging early results from its latest route launches and network expansions. While the airline has not released specific load factor or traffic data, it says both passenger and cargo demand have been positive.

The long-term question remains whether eastern markets can fully offset the loss of access to Europe, traditionally regarded as a higher-yield region due to stronger consumer spending and established travel demand. Analysts argue that destinations such as Moscow, Mumbai, Muscat, Dubai and Guangzhou could nevertheless provide sustainable growth opportunities, particularly because competition is less intense than on many European routes.

Even as it expands eastward, Air Tanzania has not abandoned its ambitions in Europe. The airline continues to view London as a strategic destination and plans to launch services once regulatory restrictions are lifted. Tanzanian authorities and the TCAA are working to address the safety issues identified by European regulators in hopes of restoring access to the market.

Industry observers believe Air Tanzania’s move into emerging eastern markets could also influence other African carriers, including Kenya Airways and RwandAir, to explore similar opportunities as competition intensifies across global aviation.

Source: ZAWYA

Oman’s two leading airlines, Oman Air and SalamAir, have significantly expanded their operations to Salalah for the Khareef Dhofar 2026 season, responding to strong travel demand with a major increase in flight frequencies and seat availability.

During peak travel periods, Oman Air has raised its daily seat capacity to Salalah from around 675 seats in April to more than 3,000 seats, representing a substantial increase in available travel options. Over the same period, SalamAir expanded its daily capacity from 495 seats to 1,505 seats.

The combined seasonal programme has resulted in an additional 192 flights and 35,639 extra seats on the Muscat–Salalah route during July alone, highlighting the growing popularity of the annual tourism season in Dhofar.

Alongside strengthening domestic connectivity, both carriers have introduced new international services aimed at attracting more overseas visitors while providing greater travel convenience for residents across Oman.

To support accessibility, Oman Air has retained its fixed national fare for Omani citizens at the level first introduced in 2023. Under the scheme, return flights between Muscat and Salalah are available for RO54. SalamAir continues to offer its dedicated residents’ fare from RO9.99 one way and recently marked the arrival of its newest aircraft, Salalah, by pricing every seat on its inaugural return service at RO9.99.

Con Korfiatis, Chief Executive Officer of Oman Air, said the Khareef season remains one of the country’s most important tourism attractions and noted that the airline is focused on balancing affordable travel for Omanis with efforts to attract more international visitors. He added that the expanded schedule would help stimulate local businesses, support the tourism sector and promote Oman to a wider global audience.

SalamAir Chief Executive Officer Adrian Hamilton-Manns said the airline’s 2026 Khareef programme represents its largest seasonal operation so far. He stated that the carrier’s expanded network, higher frequencies and increased capacity are designed to improve access to Dhofar for travellers from Oman and across the region, while maintaining a strong focus on affordability through resident fares and promotional offers.

The expanded operations underscore the growing importance of Khareef Dhofar as a regional tourism event and reflect continued investment by both airlines in supporting Oman’s tourism and economic development goals.

Source: ZAWYA

Africa’s aviation sector is witnessing a surge in competition as airlines expand fleets, launch new routes and strengthen partnerships to secure a larger share of the continent’s rapidly growing regional travel market.

The push is being driven by the implementation of the Single African Air Transport Market (SAATM), increasing economic cooperation under the African Continental Free Trade Area (AfCFTA), and rising demand for both business and leisure travel. Industry players are leveraging these developments to expand connectivity and position themselves as leading regional carriers.

Airlines are increasingly focusing on intra-African networks as part of broader efforts to improve transportation links, support trade and boost tourism across the continent.

Among the latest developments, Nigeria’s Air Peace is scheduled to launch flights next month from Lagos to Douala, Libreville, Bamako and Conakry, representing one of the airline’s largest regional expansion initiatives in recent years.

Efe Osifo-Whiskey, Air Peace’s Corporate Communications Lead and spokesperson, said the new routes demonstrate the carrier’s commitment to strengthening air links across Africa. He noted that the expansion will provide passengers with more travel options while supporting trade, tourism, investment and regional integration.

Elsewhere, Ethiopian Airlines continues to reinforce its position as Africa’s largest carrier by increasing frequencies across West, Central and Southern Africa. The airline is also evaluating the acquisition of approximately 25 regional aircraft and expanding its multi-hub strategy through investments in partner airlines across the continent.

Kenya Airways is enhancing connectivity through its Nairobi hub by adding more regional services within East and Central Africa while expanding operations to West African destinations as part of ongoing fleet optimisation efforts.

RwandAir is similarly expanding its network, introducing additional routes across West, Central and Southern Africa as it seeks to strengthen Kigali’s role as a regional aviation gateway.

In West Africa, Lomé-based ASKY Airlines continues to target underserved markets. The carrier recently added a Boeing 737 MAX 8 to its fleet, bringing its total fleet size to 16 aircraft and increasing capacity for regional operations.

Nigeria’s United Nigeria Airlines is also preparing for broader regional growth following recent fleet expansion and its membership in the African Airlines Association. Chief Commercial Officer Adedayo Olawuyi said the airline plans to introduce services to Monrovia, Banjul, Dakar, Abidjan and Conakry, with West and Central Africa forming the core of its expansion strategy.

Other Nigerian carriers are also extending their regional reach. Ibom Air recently launched international services on the Uyo–Accra route, while ValueJet has expanded operations with scheduled flights between Lagos and Accra.

Ibom Air Managing Director and Chief Executive Officer George Uriesi described the launch as a significant milestone, highlighting the airline’s ability to offer seamless passenger connections between Abuja and Accra through its Uyo hub.

Industry analysts say the growing number of route launches and fleet additions reflects the increasing influence of SAATM, which is gradually removing market access restrictions and encouraging greater competition among African airlines.

They believe that as carriers continue to invest in new aircraft, expand networks and deepen regional partnerships, passengers will benefit from improved connectivity, easier travel across borders and stronger economic integration throughout Africa.

Source: ZAWYA

European aircraft manufacturer Airbus has projected that global air travel will continue its long-term expansion, with annual passenger numbers expected to reach approximately 10 billion by 2045.

In its latest global market outlook released on Wednesday, Airbus forecast average yearly air traffic growth of 3.9% over the next two decades, a trend that would result in passenger volumes doubling compared with current levels. The projection aligns with similar forecasts previously published by the International Air Transport Association (IATA).

To meet rising demand, Airbus estimates that airlines worldwide will require more than 42,000 new aircraft by 2045. Of these, around 22,240 aircraft will be needed to support market growth, while 19,820 jets will replace aging fleets currently in service.

The aircraft manufacturer also expects wide-body aircraft to account for roughly 19% of future deliveries, reflecting continued demand for long-haul international travel.

Airbus identified urbanization, sustained economic development, and the expansion of middle-class populations as the primary factors driving future growth in air transportation.

The company anticipates that aviation networks will become increasingly decentralized, with growth concentrated not only in major metropolitan centers but also in smaller and medium-sized cities. According to Airbus, this trend is expected to create more direct connections between regional destinations, reducing reliance on traditional hub airports.

As a result, fuel-efficient narrow-body aircraft designed for short- and medium-haul routes are expected to remain the backbone of airline fleet expansion. Airbus noted that market demand is reflected in its current order backlog, which exceeds 9,000 aircraft.

Source: QCAA