Saudi Arabia braces for Eid Al-Fitr rush with anticipated surge in airline passengers

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Updated 10 April 2024
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Saudi Arabia braces for Eid Al-Fitr rush with anticipated surge in airline passengers

  • Air travel between the UAE and Saudi Arabia alone has witnessed a noticeable surge

RIYADH: Buoyed by the millions of Umrah performers and worshippers throughout the holy month of Ramadan, Saudi Arabia braces for a surge in travel for Eid Al-Fitr. 

The spike is expected to result in a significant rise in the number of arriving and departing passengers from key Umrah airports. 

Air travel between the UAE and Saudi Arabia alone has witnessed a noticeable surge, driven by increasing demand from individuals wishing to perform Umrah rituals during the holy month of Ramadan. The demand generally reaches its peak during the last 10 days of the holy month. 

According to the UAE’s General Civil Aviation Authority statistics, flights between the UAE and Saudi Arabia increased by 13.3 percent in March, rising to around 383 weekly flights compared to approximately 338 in February, coinciding with the beginning of Ramadan. 

Saudi aviation management firm Matarat Holding predicts that overall travelers will reach 6.6 million this year, reflecting a 25 percent growth compared to the previous year. 

Khaled Al-Hamash, executive vice president of strategy at Matarat, told Arab News: “Those traveling on Umrah charter flights are 500,000 passengers and the rest are scheduled. Those traveling from and to international destinations are 4.7 million passengers and the rest are domestic.”   

This comes as the Kingdom witnessed a significant influx of travelers last year. According to data released by Saudi Arabia’s General Authority of Civil Aviation in May 2023, the number of passengers to and from its airports during Ramadan and Eid Al-Fitr exceeded 11.5 million people from the beginning of the holy month until the ninth of Shawwal. 

The success of last year’s hosting sets a precedent for this year’s Eid Al-Fitr celebrations, indicating the Kingdom’s readiness to facilitate travel and accommodate pilgrims during this festive period.  

The impact on traveling during Eid Al-Fitr this year is anticipated to be significant, suggesting that travel demand during the season will be much higher based on previous figures. 

“Eid holidays have traditionally been peak travel season for domestic and international travelers from Saudi,” Muzammil Ahussain, CEO of Almosafer, told Arab News.  

He added: “This year too we have witnessed an initial upsurge in bookings for the Eid travel season. With many preferring to finalize their travel plans closer to the holidays, we are anticipating even greater demand for flights and hotel stays.”  

Ahussain explained that many residents prefer shorter flights and are opting for staycation trips. This choice allows them to spend quality time with family while exploring popular tourist destinations within the country.  

“Trips to AlUla and Al Ahsa are particularly attractive to domestic travelers, with top destinations like Riyadh, Dammam, and Jeddah drawing travelers,” he said.  

For international trips, the CEO noted that destinations including Dubai, Cairo, and European capitals like Paris and London continue to be “all-time favorites” among travelers from Saudi Arabia.  

“This year, we are also witnessing a greater demand for travel to Turkiye and Thailand, as well as far-Eastern destinations like Korea and Japan,” he added.  

Capacity addition   

Given the high demand during the Eid Al-Fitr period, airlines strategically adapt to accommodate the surge in passengers, both domestically and internationally. 

This includes significant increases in seat capacity and flight frequency, ensuring smoother travel experiences for all passengers.  

Saudia, for instance, has significantly increased the number of seats both domestically and internationally for this year’s Eid compared to the previous year’s season.   

According to the Kingdom’s national carrier, the allocation of international sector seats rose by 36 percent to over 246,000 seats, with 602 flights, marking a 44 percent increase compared to Eid 2023.  

Additionally, the domestic sector experienced a surge in seat capacity, with an increase of 21 percent totaling more than 270,000 seats. This was accompanied by 1,300 flights, reflecting a 21 percent increase compared to the previous year’s Eid season.  

“Saudia is committed to providing a flexible operational plan throughout the year and during peak seasons. As we mark the end of Ramadan and the beginning of Eid Al-Fitr, we are seeing a high travel demand and are prepared to provide additional flights and increase seat capacity to address the growing demand,” Sulaiman Yaqoobi, chief operating officer at Saudia Group, told Arab News.  

He added: “We are also sharing the spirit of Eid with Saudia’s guests onboard and at AlFursan lounges by distributing sweets and broadcasting Eid Takbeer, as we always strive to give our guests the best experience possible.”  

Saudia is also capitalizing on this opportunity by offering a promotional deal, featuring a 25 percent discount for travel between Saudi Arabia, other Gulf Cooperation Council countries, and Egypt in the hospitality class.  

The booking window for this offer is from April 7 to April 30, with the travel period spanning from April 9 to Sept. 30, 2024.  

The Almosafer CEO highlighted that Dubai stands out as a “preferred destination” due to its proximity to Saudi Arabia and its visa-free status for Saudi passport holders, making travel there convenient, “which means people can travel with great ease.” 

According to the latest data from the UAE’s GCAA, flydubai increased its flights to the Kingdom by 40 percent from 93 weekly flights in February to 130 flights in March, while Etihad Airways also increased its flights by more than 22.2 percent, from 63 flights in February to 77 flights in March. 

Meanwhile, Emirates operated approximately 67 weekly flights to the Kingdom in March, covering Dammam, Jeddah, Madinah, and Riyadh, while Wizz Air Abu Dhabi operated about 21 weekly flights including Dammam and Madinah. 

Additionally, flights operated by Air Arabia reached approximately 88 weekly flights, the GCAA data showed. 

During Ramadan and the Umrah season, from March 11 to April 7, Etihad Airways successfully transported around 45,000 passengers to its destinations in Saudi Arabia. Most travelers visiting the Kingdom during this period were from the UAE, India, Pakistan, and Indonesia. 

Surge in flights   

The impact on traveling during Eid Al-Fitr is significant, with Saudi Arabia’s demonstrated ability to manage crowds and ensure the smooth operation of religious events providing reassurance to travelers.  

Furthermore, the distribution of passengers across key Umrah airports offers insights into the nation’s transportation infrastructure and connectivity.   

Jeddah’s King Abdulaziz International Airport emerges as the primary gateway for Umrah travelers, accommodating a staggering 81 percent of the anticipated passengers.  

“Although Jeddah’s King Abdulaziz International Airport has the most traffic, Madinah’s Prince Mohammed Bin Abdulaziz International Airport follows suit, handling 16 percent of the total traffic,” Al-Hamash said.  

He added: “Taif International Airport and Prince Abdul Mohsin Bin Abdulaziz International Airport in Yanbu serve as additional entry points.”  

Al-Hamash also outlined the anticipated number of arriving and departing flights, both chartered and scheduled, to and from major Umrah airports during the season, spanning from the first Ramadan to the sixth of Shawwal or until after Eid Al-Fitr.  

“The total expected number of flights surpasses 37,000, indicating a notable 19 percent increase compared to the previous year,” he said.  

Overall, the Umrah and Eid Al-Fitr holidays are playing a key role in reviving the hospitality industry, signaling a return to the robust performance recorded across the GCC region.


GCC housing ministers discuss joint action in Qatari capital

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GCC housing ministers discuss joint action in Qatari capital

RIYADH: Gulf Cooperation Council countries are set to have better coordination in their housing projects as top ministers met in Doha to discuss the Joint Housing Action Plan for 2024. 

Saudi Minister of Municipal and Rural Affairs and Housing Majid Al-Hogail headed the Kingdom’s contingent at the 22nd meeting of the GCC Housing Ministers Committee in the Qatari capital, where leaders deliberated over key housing issues and made multiple decisions.  

These included the approval of the Real Estate Incentive Guide, which aims to link landowners with developers and financial entities.  

They also approved the guide for evaluating the flexibility of cities in the field of housing in GCC countries, as well as the economic framework for partnership with private institutions to encourage investment in the real estate sector. 

The meeting also announced the launch of the sixth edition of the GCC Housing Work Award under the theme “Smart Digital Applications and Technologies in Housing Projects and Programs.”  

The monetary value of the award was increased to SR375,000 ($99,987) instead of SR100,000, emphasizing the importance of ministries and relevant institutions in the Gulf countries promoting the new award cycle to expand participation. 

Ministers emphasized the importance of continued participation in regional and international activities and meetings related to accommodation to showcase the region’s efforts. 

The UAE was nominated for membership in the Executive Bureau of the Asian-Pacific Assembly and the upcoming presidency of the UN Human Settlements Programme General Assembly. Additionally, the committee highlighted the necessity of activating the mechanism for exchanging experts among GCC countries. 

Furthermore, discussions were held regarding the General Secretariat’s proposal to sign agreements with various specialized organizations serving the residency sector, including the International Federation for Housing and Planning and the International Housing Association. 

Following the meeting, the dignitaries toured the accompanying exhibition, where the ministries in the Gulf countries showcased their prominent efforts and projects through their participating pavilions. 

At the end of the tour, Qatar’s Minister of Social Development and Family Mariam Al-Misnad honored the GCC ministers.


Qassim’s private sector environment in focus during ministerial visit to region’s chamber

Updated 16 May 2024
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Qassim’s private sector environment in focus during ministerial visit to region’s chamber

RIYADH: Private sector involvement in Saudi Arabia’s Qassim region took center stage during a visit by a top investment official to the province’s chamber.

Minister of Investment Khalid Al-Falih convened with investors and company leaders at the headquarters of the Qassim Chamber on May 15, where they discussed ways to enhance the regional investment environment and overcome obstacles, and also examined the role of the private sector in achieving the economic goals of Vision 2030.

Al-Falih emphasized that the Qassim region is filled with innovative investment experiences and initiatives, such as fish farming and feed manufacturing, encouraging these contributions to serve as a blueprint for sustainable investment globally.


ACWA Power’s Shuaa Energy 3 granted commercial operation certificate for 300MW solar project

Updated 16 May 2024
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ACWA Power’s Shuaa Energy 3 granted commercial operation certificate for 300MW solar project

RIYADH: The third stage of a Dubai-based 900-megawatt solar project being developed by Shuaa Energy 3 is ready to begin commercial operations, it has been announced.

Saudi energy firm Acwa Power – which owns a 24 percent stake in the company behind the facility – revealed in a Tadawul filing that the Project Commercial Operation Certificate of Phase C of the project has been granted. 

PCOC is a document confirming that the facility at Mohammed bin Rashid Al Maktoum solar park is fully completed and ready for commercial operation. 

Phase C, encompassing an additional 300MW, contributed to the complete plant achieving commercial operation with a total capacity of 900MW. 

The plant utilizes bifacial photovoltaic technologies, which harness reflected solar rays on both the front and back sides, in conjunction with a single-axis tracking system, to enhance energy production.

Shuaa Energy 3 is the special purpose vehicle established to develop the fifth phase of the solar park, and is also owned by the Dubai Electricity and Water Authority and Gulf Investment Corporation.

Together with Acwa Power, they have entered into a 25-year power purchase agreement to generate clean energy, aligning with Dubai Clean Energy Strategy 2050.


Egypt’s exports to Arab countries up 8.7% in 2023, Saudi Arabia tops list

Updated 43 min 18 sec ago
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Egypt’s exports to Arab countries up 8.7% in 2023, Saudi Arabia tops list

RIYADH: The value of Egyptian exports to Arab countries surged 8.7 percent year on year to reach $13.6 billion in 2023, according to new data.   

A statement from Egypt’s Central Agency for Public Mobilization and Statistics revealed that Saudi Arabia topped the list of the highest Arab countries importing from the nation during the year, with the value of the African country’s exports amounting to $2.7 billion in 2023.   

This falls in line with the significant growth in trade relations, partnerships, joint projects, and development investment between the two countries in recent years.  

The statement revealed that the Kingdom was followed by the UAE, with Egyptian exports reaching $2.2 billion, followed by Libya with about $1.8 billion, Sudan with an estimated $984.4 million, and Algeria at $850.3 million.  

Regarding the top commodity groups exported to Arab countries during 2023, the agency indicated that vegetables and fruits were exported with a value of $1.3 billion, followed by machinery and electrical appliances with a worth of $1.1 billion.   

Furthermore, Egypt’s exports of pearls, precious stones and jewelry to the Arab countries came next, amounting to $1 billion, while exports of fuel, mineral oils and distillation products stood at $753 million.   

Meanwhile, the country’s exports of plastics and manufactures totaled $712 million.

On the imports side, the CAPMAS statement disclosed that the value of Egyptian imports from Arab countries reached $12.4 billion during 2023, down from $17 billion in 2022.

Once again, Saudi Arabia topped the list of Arab nations that exported the most to Egypt during 2023, with the value of Egypt’s imports amounting to $5.2 billion,

Kuwait came next, with the African country’s imports amounting to $2.7 billion, followed by the UAE with $2.1 billion, Oman with $717.4 million, and Bahrain with $399.5 million.

The prominent commodity groups imported from Arab countries during 2023 included fuel, mineral oils, and distillation products worth $6 billion, followed by plastics goods valued at $2 billion. 

Egypt’s imports of recycled raw materials amounted to $785.1 million, followed by aluminum and its products at $399.2 million, and then fish, oysters, and molluscs at $213.3 million. 

The CAPMAS statement noted that the volume of trade exchange between Egypt and Arab countries dropped 11.8 percent year on year to reach $26 billion in 2023, according to new data. 

 In March, American capital market firm S&P Global upgraded its outlook for Egypt to positive from stable.  

According to a statement released at the time, the US-based firm also affirmed Egypt’s debt rating at “B-/B.”

This grade indicates that the country currently has the capacity to meet its financial obligations but faces ongoing uncertainties.


Saudi Arabia’s holdings in US treasuries rise to $135.9bn

Updated 16 May 2024
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Saudi Arabia’s holdings in US treasuries rise to $135.9bn

RIYADH: Saudi Arabia’s holdings in US treasuries increased for the eighth consecutive month in March, reaching $135.9 billion, a rise of 3.66 percent compared to the previous month. 

According to official data released by Washington, the Kingdom was ranked 17th among the largest investors in such financial instruments in March. 

The report noted that Saudi Arabia’s holdings of US Treasuries were distributed among long-term bonds worth $107.3 billion, representing 79 percent of the total.

On the other hand, the Kingdom’s short-term bonds were worth $28.6 billion in March, accounting for 21 percent of the total value.

In February, the Kingdom’s holdings in US treasuries stood at $131.1 billion, compared to $133.5 billion in January and $132 billion in and December,

The data suggested that Japan was the largest investor in US treasury bonds in March, with holdings totaling $1.18 trillion, representing a rise of 1.16 percent from February. 

China and the UK followed, with portfolios valued at $767.4 billion and $728.1 billion, respectively. 

Luxembourg and Canada were ranked in the fourth and fifth spots, with treasury holdings amounting to $399.3 billion and $359.1 billion, respectively. 

Ireland secured the sixth rank in the list with holdings of $317.8 billion, closely followed by Belgium with portfolios worth $317.1 billion. 

The Cayman Islands came in the eighth position with treasury reserves worth $302.9 billion, followed by France and Switzerland, with assets amounting to $283.1 billion and $262.9 billion, respectively.

Taiwan was ranked eleventh on the list, with treasury holdings worth $259 billion. 

India came in the twelfth spot with assets amounting to $240.6 billion, followed by Brazil and Singapore, which had holdings worth $227.1 billion and $208 billion, respectively. 

Earlier this month, a report released by the Saudi Central Bank, also known as SAMA, revealed that international reserve assets declined by 2 percent in April to SR1.66 trillion ($440 billion) compared to the previous month. 

However, the Kingdom’s foreign reserve assets jumped 3 percent in April compared to the same period of the previous year.