‘Dubai remains popular segment’: Emirates expects strong growth out of Pakistan

Dubai-based Emirates, one of two flag carriers of the United Arab Emirates (UAE), projects strong growth coming out of Pakistan in the coming years, and would carry out extensive infrastructure development, said Mohammed Alnahari Alhashmi, the vice president of Pakistan for Emirates Airline.

“We see strong growth coming out of Pakistan and it has been evident in our network expansion decisions over the last few years,” said Alhashmi in an interview with Business Recorder’s BR Research published on Tuesday.

Emirates Airline has a significant presence in Pakistan, with roughly a dozen flights flying to Dubai daily from Karachi, Lahore, Islamabad, Sialkot, Multan and Peshawar.

“I foresee extensive infrastructure development, partnerships, and alliances in the future that will not only facilitate Emirates’ operations but also act as a catalyst for cultural exchange, business growth, and leisure travel,” he added.

Alnahari, who previously served as the Emirates VP for Kingdom of Saudi Arabia, shared that there is a lot of demand in Pakistan for flights to the US and the UK.

“These are very popular sectors for Pakistanis and our home and hub, Dubai, remains one of the most popular segments for Pakistanis,” he said.

He shared that Pakistan was amongst the top 10 source markets contributing to the record number of overnight visitors to Dubai, with over 250,000 in the first nine months of 2023.

“This underscores the significance of Pakistan’s travellers to Emirates’ and Dubai’s overall success in the tourism sector,” said VP Pakistan for Emirates.

Overall, the Emirates Group – made up of Emirates Airline and air services provider dnata – reported a 2023-24 half-year net profit of AED10.1 billion ($ 2.7 billion), surpassing its previous record half-year profit of AED 4.2 billion last year by a whopping 138%.

Despite high demand, excessive taxation has prevented growth in the aviation sector in Pakistan.

Back in November, Business Recorder, citing sources, reported that the caretaker government is likely to announce new tax incentives/ concessions for the aviation sector to attract foreign investment.

The government under the revised National Aviation Policy- 2023 shall consider granting industry status to the aviation sector.

The status of “industry” will give certain tax benefits to this sector. “Proposal of declaring aviation as an industry by federal government with proposed taxes, duties and other incentives” is under consideration of the caretaker government.