Kempinski Dubai hotels hit 90% occupancy during Eid as domestic demand offset international decline

dnata CEO Nabil Sultan expects Dubai's travel market to experience a full recovery by the first quarter of 2027, following the disruption caused by the regional conflict. Sultan, who took over as CEO of dnata three months ago after a successful career at Emirates Sky Cargo, believes that the winter schedule will perform well, with both leisure and business travel seeing a significant increase in demand.

Sultan highlighted that the company's cargo business has been performing exceptionally well, describing it as "mega growth" in tonnage uplift and cargo handling across the UAE and Dubai. This surge in cargo demand is partly attributed to the disruption around the Strait of Hormuz, which has increased demand for air freight. The company recently invested Dh800 million in a cargo facility in the Netherlands, which is now operational and performing exceptionally well.

Additionally, dnata has launched a Cargo Integrated Command Centre in Dubai for better centralised management of cargo operations.

While the conflict has had varying impacts on dnata's travel businesses, Sultan noted that inbound UAE travel was hit early on, particularly from European and Asian markets. However, other markets, such as the Indian subcontinent, Middle East, and Africa, showed a quick rebound in demand and profit. The company also observed strong outbound traffic from the UAE during the summer, with Sultan describing both inbound and outbound traffic as "phenomenal."

The recovery in Dubai's passenger market will depend on international airlines restoring capacity. Sultan mentioned that most Indian carriers continue to operate normally, while some European and Asian airlines reduced operations during April and May. Nonetheless, he expects many of these airlines to start returning by November-December, providing additional capacity for Dubai as the winter travel season begins.