There was little relief for thousands of stranded passengers across the Gulf on Tuesday as sweeping airspace closures and mass flight cancellations continued to paralyse one of the world’s busiest aviation corridors.
US President Donald Trump warned that the “big wave” of the US attack on Iran is yet to come as he laid out his war objectives for reporters.
As heightened tensions continue to inject uncertainty into global markets, businesses across the Gulf are balancing caution with determination. The GCC governments are responding swiftly to preserve stability, support liquidity, and sustain momentum, said an industry expert.
US President Donald Trump has indicated that the war with Iran could continue for up to four weeks, warning that further American casualties are likely as fighting intensifies across the region.
Global airlines reported a 5.9% rise in international revenue passenger kilometres (RPK) in January over last year, with Middle Eastern carriers outpacing most regions with a 83.2% load factor despite a broader slowdown in growth at the start of the year, according to a report by IATA.
The Gulf’s tourism sector is expected to take a significant short-term hit as regional conflict disrupts air travel, weakens traveller confidence and forces widespread flight cancellations, but analysts say regional markets retain the financial strength and infrastructure needed for recovery once hostilities ease.
The Gulf countries continue to consolidate their position as one of the most influential hubs in global energy markets, (with 32.7% of global oil reserves and 21.2% gas reserves) supported by a broad base of natural resources, advanced infrastructure and accumulated expertise, said a report.
Shipping across the Gulf and the strategic Strait of Hormuz remained severely disrupted as attacks on commercial vessels intensified amid the conflict between Iran and US–Israeli forces.
Iran’s retaliatory strikes across the Gulf have disrupted some business activity in one of the world’s most trade-dependent regions, forcing temporary airport closures, interrupting port operations and unsettling financial markets , while the private sector remains resilient according to authorities.
Aroya Cruises, a subsidiary of PIF-owned Cruise Saudi, has officially launched its inaugural season in the Arabian Gulf. Running from February 21 to May 8, the season marks a milestone in regional tourism by blending authentic Saudi hospitality with global maritime standards.
