Aviation sector faces challenge of fuel price hike

RAS AL KHAIMA — The hidden gems within the tourism industry are one of the Jordanian economy’s most valuable attractions. However, the industry remains challenged by the global perception of the region, said Samer Majali, CEO of Royal Jordanian Airlines.

Jordan is known as one of the world’s richest and diverse tourism sites, as the Kingdom is home to medical tourism, adventure tourism, religious tourism and “well-preserved” antiquities, he noted. 

“The tourism industry is one of the largest enablers for the economy”, Majali told The Jordan Times on the sidelines of the Arab Aviation Summit (AAS) on Tuesday. 

Majali added that tourism activities play a huge role in driving the economy, as it is a labour intensive industry and major contributor to local GDP.

However, he added that, “We are cautiously optimistic about the tourism and aviation sector”.

He noted that “as the conflict in Eastern Europe rises, airlines cannot fly over that area, even if they are allowed to they don’t.”

He further explained that “when an airline flies over the affected area, it will likely be subjected to financial sanctions. The insurance that is paid by airline companies will also increase, therefore the airline have to change routes it requires passing over that area, which might require more fuel for the airplane that will result in a rise to the cost of a flight”. 

He noted that “regional conflicts have always been present in our part of the world, therefore we need to work on the international tourist’s perception of the Kingdom and inform potential tourists that Jordan is a safe zone for them to visit and enjoy a vacation”. 

Adel Ali, CEO of Air Arabia, stated that “the world is hoping for an endemic and the aviation industry is predicting an uptake in travel within the coming six months. 

“Most of the countries removed travel restrictions and people did not spend much during the last couple of years, therefore they will have the money to travel,” Ali said in his remarks at the summit on Tuesday

He noted that he believes that the industry is back, “although airlines are facing the challenge of increased fuel prices”.

He added that “there are too many travel requirements by airports, such as the three hours wait before a flight and the lengthy check-in process. Airports are urged to enhance customer experiences by employing technology to speed up the process in order to encourage people to travel,” Ali said.