UAE Airfares Surge by 30% as Eid Al Fitr and School Holidays Overlap

The price of UAE airfares surge just in time for Eid Al Fitr, with increases of even 30% recorded overnight. Travel demand from passengers is known to manifest in peaks during overlapping periods when the Eid holidays coincide with the school spring break.

March 31 is earmarked for Eid this year, and from March 18, the school spring break will kick in. The concurrence of these two main travel times has only magnified the effect on flight availability and increased airfare. Interacting with the media, Raheesh Babu, COO of musafir.com, has reported a 30% increase in holiday bookings for this period, which sees more people traveling abroad. Families are traveling to destinations such as Switzerland, Italy, Latvia, Southeast Asian countries such as Vietnam, Thailand, Singapore, and Malaysia; and African countries such as South Africa, Kenya, and Zanzibar.

Even with the fading business travel scene, airfares have jumped by at least 20% compared to last month. According to Babu, demand is in last-minute bookings for Eid and Spring Break-getting away surge. This has also elicited a higher stock of interest inward into the UAE since residents are inviting family and friends for the grand celebrations of Eid. Holiday bookings have grown by roughly 25% this month when compared to last month, with residents wanting to spend holidays together.

In view of the increased demand, both regional and international airlines are increasing their flight capacity. The overlap of Eid and spring school holidays has dictated a rise in airfares by 20% to 30%. Generally fare hikes occur whenever the periods are in competition with each other; however, the concurrent nature of the two holidays has accentuated the impact. She pointed out that traveling back to their home countries during this time is a popular option, with a particularly high interest in Europe.

Conversely, business travel remains slow, down by almost 30% as the result of the Ramadan season. However, it is expected to bounce back in the third week of this month toward the end of the fasting period. Certain destinations are producing robust travel demand even in the business context, such as Japan, thanks to the Expo, and China.

On the contrary, inquiries on travel to Saudi Arabia have slowed; visas are basically on hold owing to Ramadan. On the other hand, attractions for other emerging destinations like Bhutan, Vietnam, and Albania are gradually gaining momentum, particularly for travelers who hold US visas, as Albania provides visa-on-arrival gains.

The holiday season is upon the UAE’s travel industry, expecting a continuing surge in bookings, for residents and tourists eager to take advantage of the beautiful weather and holidays.