Presented by Ali Al Naqbi, MEBAA Founding Chairman
Agenda The Region Aviation Background Business Aviation Nowadays Challenges The Future Closing Remarks 2
Short History on Development of Aviation Industry Commercial airlines started modestly mid-20th Century Incredible growth during the last 30 years Rapid expansion in infrastructure and related facilities like MRO and training. Massive airport expansion in Dubai, Abu Dhabi, Oman, Qatar, Saudi Arabia and Jordan Airlines like Emirates, Etihad and Qatar Airways setting the trends 3
History cont. 1960 s 1970 s 4
History cont. 1970 s 2000 s 5
Business Aviation Development in The Region Initially developed exclusively for government officials Large aircraft with exclusive luxury finishing were required A rapid increase in off-shore oil exploration created a demand for private aviation to transport men and material to remote places The rise in the number of high net-worth individuals due to the oil boom in 1980 created a market for private family travel Private aircrafts ownership started in KSA in the 1970s First official AOC started in Jordan 1973 Private aviation started to develop with a few charter brokers/operators catering to a small market Business Aviation Operators came into existence in a big way only at the beginning of this century Big operators with AOC commenced recently in the region 6
A Promising Market MEBA 2007 MEBA 2010 7
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Middle East Business Aviation Today MEBAA members 160 Number of Aircrafts registered over 500 Business Aircraft movements - 110,500 per year Volume of business - approximately half billion US$ Five Business Aviation related Training Centers One dedicated General Aviation Airport Three MROs 10 FBOs 9
Our Challenges Trained Manpower in Business Aviation Access to busy airports Dedicated General & Business Aviation Airports Training Centers, MROs and FBOs Regulatory provisions for Business Aviation Brokers and Grey Market Arab Spring Uprisings Remote OEM and logistical limitations Regional Business Aviation Database 10
Bright Future The number of business aircraft is expected to grow to 1,330 by 2019 The number of business aircraft movements are forecast to rise to 160,000 by 2018 Business aviation is currently valued at US$493 million; expected to grow to over one billion US$ by 2018 Globally, delivery of approximately 11,000 new business jets from 2010 through 2020, generating estimated industry sales forecast in excess of USD 225 billion Middle East economic growth in the intermediate and long-term remains high despite more cautious outlook, stemming from the leveling out of oil prices Number of private operators is set to increase, as is evident by membership growth of MEBAA since 2006 11
MEBAA s Priorities Still working on developing common security protocol within airports and Business Aviation operators Fighting Grey Market Empty Leg Creating a Flight Operation Sub-Committee to tackle specific Operator issues: Fixed based operations Private airport access Regulatory Authority 12
MEBAA s Events October Beirut MEBAA Networking Reception November Dubai Issues and Human Factors for Operators within the Business Aviation Industry Round table Risk Management Seminar MEBAA General Assembly January 12 Bahrain Networking reception at the Bahrain Air Show 13
Conclusion The Middle East Business aviation sector is set for continued growth despite temporary political instability Investment opportunities in MENA New challenges to emerge (monitoring aircraft usage when leased to aircraft management) Increased passenger data required to heighten security and intelligence These challenges are MEBAA s on-going agenda 14
THANK YOU ﺷﻛرا