Outbound airfares to Europe, the UK, India have surged by 30-50%
Dubai: UAE residents planning to travel during Eid Al Fitr, Spring Break, or the summer holidays should book their tickets as soon as possible. Airfares to key destinations like India, the UK, the US, and Europe have already surged 30-50 per cent this year, with no immediate relief until at least the end of August.
Based on fare trends across major online travel agencies (OTAs), the sustained price increase is driven by overlapping travel demand during Eid and school vacations, limited airline capacity, and ongoing global aircraft delivery delays.
The rare overlap of Eid and school holidays, which historically drive significant travel demand, is the key cause for soaring rates, according to Rikant Pittie, CEO and co-founder of EaseMyTrip. "Typically, airfare hikes occur separately during either school holidays or Eid, but the overlap has intensified demand, leading to even steeper price increases. Many travellers are returning to their home countries, while others are inquiring about European holiday destinations," he explained.
According to Pittie, business travel saw a temporary slowdown of about 30 per cent due to Ramadan. However, it is expected to regain momentum in the third week as the fasting period nears. Some business travellers are expected to merge their work trips with family holidays, causing a consistent price rise.
"Alongside seasonal family trips, popular destinations such as Switzerland, Italy, Thailand, Singapore, Malaysia, South Africa, and CIS countries like Georgia and Armenia remain in high demand," Pittie said, adding that these combined factors are expected to keep airfares elevated until the end of August.
Airlines are increasing capacity to help offset rising fares. New routes and additional flights are being introduced, easing pricing pressure over time. For instance, economy fares to New York, currently priced between Dh6,850 and Dh8,850, are expected to decline to around Dh3,030 in September.
Similarly, flights to London could drop from Dh4,500 to around Dh2,260.
For travel from the UAE between March 31 and April 10, round-trip fares are estimated as follows: Rome, Italy, between Dh3,800 and Dh4,800; Zurich, Switzerland, between Dh4,000 and Dh5,000; Bangkok, Thailand, between Dh2,500 and Dh3,500; Delhi, India, between Dh1,200 and Dh1,500; Mumbai, India, between Dh1,100 and Dh1,400; Kochi, India, between Dh1,000 and Dh1,300; Tbilisi, Georgia, between Dh 1,800 and Dh 2,200; and Yerevan, Armenia, between Dh 1,700 and Dh 2,100.
However, despite these adjustments, airline expansion plans continue to be affected by global aircraft delivery delays.
According to the International Air Transport Association (IATA), the backlog of new aircraft orders has reached a record high of 17,000 planes. With current delivery rates, clearing this backlog would take nearly 14 years.
In 2025, aircraft deliveries were initially forecasted at 2,293, but recent estimates suggest that number will drop to 1,802, further exacerbating airline capacity constraints worldwide.
Looking ahead, airfare trends suggest continued price pressures. Online travel agency Musafir projects a 2-14 per cent increase in global airfares in 2025 due to rising fuel costs and inflation. However, corporate travellers are finding innovative ways to manage these expenses. "As we step into 2025, corporate travel is more than a logistical function; it's a catalyst for growth and innovation," said Sachin Gadoya, CEO and co-founder of Musafir.com. The agency noted that popular business-leisure ("bleisure") destinations like Dubai, Paris, and Sydney remain top choices for extended corporate stays.
According to an aviation consultancy OAG report, airfares are unlikely to see significant reductions in 2025 despite oil prices dropping to their lowest levels since September 2018. "In 2025, average airfares are unlikely to fall significantly, as the balance between supply and demand remains crucial. Shortages of supply, rising operational costs, and a strong US dollar will impact any scope for dramatic reductions," OAG reported.
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