SYDNEY: Australian national carrier Qantas Airways Ltd. on Thursday said it would ax its Melbourne-Dubai-London flights operated in partnership with Emirates and switch the capacity to Asia when it launches non-stop Perth-London flights next year.
The move is part of a strategy of cutting the journey time to London to gain an edge and pricing premium over the two dozen rivals offering one-stop flights on the so-called Kangaroo route.
Qantas will charge a premium of as much as 48 percent in economy class and 62 percent in business class relative to one-stop rivals like Qatar Airways and Singapore Airlines on the Perth-London route in return for saving three hours of travel time, according to online price comparisons.
Qantas Chief Executive Alan Joyce has said his airline could be operating non-stop flights from Sydney and Melbourne to London within five years as Airbus SE and Boeing Co. introduce longer-range aircraft.
The 17-hour Perth-London flight on a Boeing 787-9 will originate and end in Melbourne and will not be subject to heightened security checks for Middle Eastern flights as a result.
It will cut more than an hour off the flying time from Melbourne to London relative to the current route through Dubai, Qantas said in a statement.
Sydney-Dubai-London will be the Australian airline’s only flight operating through the Emirates hub once the change takes place in March. Qantas’s capacity to London will fall as a result of the switch to a 787 from a larger A380.
Two A380s that had been serving the Melbourne-Dubai-London route would be redeployed to meet periods of high demand from Melbourne and Sydney to destinations in Asia, such as Singapore and Hong Kong, a Qantas spokeswoman said.
Qantas to ax Melbourne-Dubai-London flights
Qantas to ax Melbourne-Dubai-London flights
Saudi Arabia, Middle East infrastructure and AI to drive next rotation of global capital, says BNY executive
- Hani Kablawi: I’m excited about (Saudi Arabia) coming out in force, reaching out to the investor community, saying: ‘Tell us what you need to see’
- Kablawi: We (BNY) are one of, within our peer group, the biggest investors in both AI and in digital assets
DAVOS: As global markets contend with heightened volatility and shifting capital flows, the Middle East — and Saudi Arabia in particular — is positioning itself as a destination for long-term investment, according to Hani Kablawi, senior executive vice president and head of international at BNY.
Speaking to Arab News at the World Economic Forum in Davos, Kablawi pointed to the region’s increasing engagement with international investors, combined with large-scale infrastructure ambitions, as key factors shaping where global capital could move next.
“The really exciting thing for me in the Middle East is it isn’t one thing,” Kablawi said. “It’s very different. Demand profiles are very different, investing structures are very different, and what they’re looking to achieve is very different in different places.”
Saudi Arabia, he said, was standing out for its approach to the global investment community.
“I’m excited about (Saudi Arabia) coming out in force, reaching out to the investor community, saying: ‘Tell us what you need to see’,” he said.
“We, Saudi, are united in our approach to the international global investment community, and we are able and willing to make the changes necessary to be a destination of capital and foreign direct investments over the next few years.”
While foreign direct investment into Saudi Arabia has increased significantly in recent years, Kablawi pointed out it remains from a relatively low base.
“FDIs in Saudi have gone up fourfold over the past few years,” he said, adding there was still substantial headroom for growth.
He said the Kingdom understands what international investors require, particularly around transparency, data and risk-return profiles.
Saudi Arabia also benefits from the presence of government and semi-state entities that can help de-risk projects.
“They have the structures also to provide a good risk-return trade-off,” he said, pointing to partnerships involving national funds and government-linked investors.
Major infrastructure investment is central to that strategy, spanning transportation, aviation, ports, logistics, rail and economic cities.
“They have announced the big projects. We know what they look like,” Kablawi said. “Now it’s about the structuring of those projects in a way that attracts investment.”
Globally, capital flows remain heavily concentrated in the US, even during periods of market stress. Drawing on BNY’s data, which covers $58 trillion in assets under custody and administration, Kablawi said US assets continue to sit above long-term trend lines.
“US equities currently represent 64 percent of our total equity holdings, and government securities in the US are 72 percent of our total holdings,” he said.
During the market volatility seen last April, he added, holdings in US Treasuries fell only marginally.
“That represented two things,” Kablawi said. “One is, from a reserve currency status perspective, no alternatives yet. And from an equity perspective, continued interest in the Magnificent Seven (seven dominant US technology giants), tech stocks, AI, and the accessibility of those investments to global investors.”
Looking ahead to 2026, BNY’s analysts expect interest rate easing in the US, alongside a broadening of equity investment beyond the largest technology names. Kablawi also highlighted Europe as an area where both equities and fixed income remain underheld, despite growing infrastructure ambitions across the region.
“There’s a lot of demand for infrastructure investment all around the world,” he said, pointing to announced spending in the UK, Germany and the Middle East.
“In 2026, we’re going to be watching and hopefully helping with some of those rotations going towards long-term productive finance,” he added.
Technology is another defining theme.
Kablawi said BNY is focusing on areas it can control, particularly investment in artificial intelligence and digital assets.
“We are one of, within our peer group, the biggest investors in both AI and in digital assets,” he said.
Since last year, BNY has rolled out more than 130 AI use cases into production and made its enterprise AI platform available to all employees.
He added the firm now has around 140 “digital employees” supporting day-to-day operations.
“The connectivity between traditional finance and digital finance will grow,” Kablawi said. “The rails that exist that BNY is offering between traditional finance and digital finance will continue to grow.”
Looking ahead, he stressed progress will depend on continued innovation: “Anybody who’s got a little bit of an early mover advantage, it’s only an early mover advantage,” he said. “A lot of people will be pushing into it. You can never be complacent, but we like where we are.”
