Amman: The International Air Transport Association (IATA) released its outlook for the Middle East as part of its 2026 global industry forecast, confirming the region will lead the world in airline profitability next year.
According to Jordan News Agency, the IATA announced that Middle East carriers are projected to achieve the highest net profit margin globally at 9.3% and the highest profit per passenger at $28.6, both significantly surpassing the global averages of 3.9% and $7.9, respectively.
Kamil Awadhi, the IATA Regional Vice President for Africa and the Middle East, emphasized the significance of the Middle East's anticipated success in 2026, attributing it to strategic investments, supportive policy frameworks, and the region's function as a global connecting hub. He noted, however, that not all carriers are benefiting equally, as some continue to face financial challenges due to geopolitical instability, blocked funds, and uneven infrastructure development.
Awadhi stressed the importance of regional collaboration to address these disparities, suggesting that a harmonized regulatory approach and increased cooperation could enable all markets to benefit from the region's growth. He also highlighted the need for an integrated air transport market, fair consumer protection rules, and the resolution of blocked funds to enhance connectivity and efficiency across the region.
Middle East airlines are projected to generate $6.9 billion in net profit in 2026, driven by strong fundamentals, including robust long-haul traffic, expanding hub capacity, and ongoing infrastructure investments. In contrast, the global industry net profit is expected to reach $41 billion, with a total of 5.2 billion passengers forecasted to travel worldwide. Cargo demand is anticipated to grow 2.6% globally, with Middle East cargo volumes remaining stable.
The regional passenger market is expected to reach 240 million passengers in 2026, supported by a 6.1% growth rate, outpacing the global average of 4.9%. The IATA highlighted the necessity of strengthening regional cooperation to fully realize the aviation sector's potential, identifying key areas such as advancing toward a more integrated air transport market and ensuring fair consumer protection frameworks.