Boeing predicts annual average traffic growth rate in the Middle East to be 7.1%

Boeing stated it expects a near quadrupling of air traffic in the Middle East over the next 20 years, with the annual average traffic growth rate in the region to be 7.1%, equating to a 287% rise over the period, ahead of global annual traffic growth of 5.3%.

Boeing forecasts a requirement for 2,340 new aircraft in the region by 2029 and expects the market would continue to be dominated by twin-aisle, long-range aircraft which account for almost 43% of demand.

See related CAPA profile: Traffic - Airports

Air Arabia Egypt, subsidiary of Air Arabia (-0.8%), increased its service between its base in Alexandria Burj Al Arab Airport and Abu Dhabi International Airport from four times weekly to daily

Kenya Airways (+0.6%) reported the following financial highlights for the 12 months ended 31-Mar-2010:

  • Revenue*: USD874.5 million, -1.6% year-on-year;
    • Cargo: USD66.8 million, -11.5%;
  • Profit before tax: USD74.2 million, compared to a loss of USD92.8 million in p-c-p;
  • Passenger numbers: 2.9 million, +3.5%;
  • Cargo volume: 55,200 tonnes, -0.7%.

* Based on the conversion rate at USD1 = KES80.85

The carrier also announced plans to commence twice weekly Nairobi-Nampula services from 01-Nov-2010 using Embraer 170 equipment. It will be Kenya Airways' second destination in Mozambique.

Selected African and Middle Eastern airlines share price movements (% change): 28-Sep-2010