Air Arabia Egypt
Air Arabia Egypt is an Egyptian low-cost carrier based at Borg El Arab Airport, Alexandria, serving the Middle East and Europe and operating tourist charter flights to West Europe and Russia. The carrier is a joint venture between the Egyptian travel and tourism company Travco Group (51%) and Air Arabia (49%).
Managed by Air Arabia, Air Arabia Egypt started operations on 22-May-2010.
Location of Air Arabia Egypt main hub (Alexandria Borg el Arab Airport)
LCCs will continue to evolve into hybrids of the original core model. CAPA and OAG consider Air Arabia Egypt fits the LCC profile and it is included in our reporting on this basis. Please note: when reporting for an airline is changed from or to LCC the historical data is not affected and it can lead to a distortion in the current reported data. Contact us if you have any queries.
22 total articles
19 total articles
The LCC phenomenon in the Middle East is entering the home stretch of its first decade. The importance of the LCC market in the Middle East has grown steadily since the launch of the region’s first LCC flights by Air Arabia in Oct-2003, but the growth has not been as high as initially anticipated, as carriers can attest to.
Just four airlines make up the regional LCC market – Air Arabia, flydubai, Jazeera Airways and NAS Air. Air Arabia also has two subsidiary carriers – Air Arabia Maroc, launched in 2007, and Air Arabia Egypt, launched in 2010. A third, based in Jordan, has been on hold for several years.
There are also some smaller carriers in the region that are filling the gap between LCCs and full service airlines. Bahrain Air markets itself as a “premium value” carrier, including some LCC elements in its model but also offering two seating classes – including an all-new business class cabin – and a correspondingly greater emphasis on service and product levels. RAK Airways, based in the UAE emirate of Ras Al Khaimah, also has low cost elements, but like Bahrain Air has adopted a hybrid model between full service and low-cost airlines.
The ripples from the Arab Spring continue to spread. Air Arabia, the largest LCC in the Middle East, announced in Jun-2011 that it would delay the launch of its Jordanian JV due to the downturn in traffic in the region, as well as higher oil prices. While the political and social environment in Jordan is described by the carrier as “stable”, Syria, Bahrain, Egypt and Tunisia still have not resolved local political instability.
Japan Airlines – which officially emerged from court-promoted bankruptcy this week – has a domestic LCC on its radar with Jetstar the most likely partner. Jetstar will reportedly outline the business case for the Japanese to the Qantas board in coming weeks, according to reports in Japan and Australia.
The political instability engulfing some North African states has extensive implications for tourism and aviation across the region. Already dozens of governments are warning their citizens to avoid travel to Egypt. Several have chartered aircraft to ferry their nationals out. Cairo Airport has been met with chaotic scenes in the past few days as thousands of foreigners seek to leave. In this special report, CAPA reviews the immediate aviation and tourism impacts from the North Africa/Middle East civil unrest.
As the international airline industry evolves from a heavily protected, government-run activity into a commercial hybrid, individual airlines are confronted by massive challenges, each of them unique to the company concerned. At the same time, the industry overall remains constantly at risk from any number of external threats.
Saudi-based LCC nasair is looking towards the possibility of an IPO as early as 2012 or 2013. The carrier, now Saudi Arabia’s sole LCC after the failure of Sama in Aug-2010, expects to move into profitability in 2011 and from there progress towards an IPO.