The Flydubai chief executive Ghaith Al Ghaith joins a growing chorus of aviation leaders expressing frustration about continuing delivery delays. Photo: Flydubai
The Flydubai chief executive Ghaith Al Ghaith joins a growing chorus of aviation leaders expressing frustration about continuing delivery delays. Photo: Flydubai
The Flydubai chief executive Ghaith Al Ghaith joins a growing chorus of aviation leaders expressing frustration about continuing delivery delays. Photo: Flydubai
The Flydubai chief executive Ghaith Al Ghaith joins a growing chorus of aviation leaders expressing frustration about continuing delivery delays. Photo: Flydubai

Flydubai cancels new routes planned for 2024 due to Boeing jet delivery delays


Deena Kamel
  • English
  • Arabic

Flydubai has cancelled the launch of routes planned for the second half of this year and reduced capacity on some others because of jet delivery delays at Boeing and supply chain problems, its chief executive has said.

The Dubai-based airline also temporarily suspended its flight schedule to Pisa in Italy from October to March 2025 to mitigate the impact on busy travel periods.

Flydubai cancelled its routes to Riga in Latvia, Tallinn in Estonia and Vilnius in Lithuania that were scheduled to start in October, despite a solid performance in the first six months of the year, chief executive Ghaith Al Ghaith told The National on Monday.

Unfortunately, there will be no further route launches this year
Ghaith Al Ghaith,
chief executive, Flydubai

The all-Boeing fleet operator said in July that its growth plans have been "stunted" after it received an update from the US manufacturer that it would not receive any more planes this year, creating a capacity shortage during a period of strong demand.

The airline then had to examine the knock-on effect on its new routes and flight frequencies on existing destinations as a result, Mr Al Ghaith said at the time.

"Flydubai had another strong performance for the first half of 2024, and we have seen very strong demand for travel this summer as well. We are pleased to see a successful start of operations to our newest destination in Europe, with the launch of direct flights to Basel earlier this month. Unfortunately, there will be no further route launches this year," Mr Al Ghaith said on Monday.

"The airline had recently revised its flight schedule due to ongoing delays in aircraft delivery schedules and supply chain disruptions. To mitigate the impact during the busy travel periods, we have cancelled our upcoming route launches in the Baltic that were planned for October."

Flydubai will cancel flights to Tallinn and other planned routes in the Baltic region amid Boeing jet delays and aviation supply chain disruption. Unsplash
Flydubai will cancel flights to Tallinn and other planned routes in the Baltic region amid Boeing jet delays and aviation supply chain disruption. Unsplash

In December, Boeing told flydubai that it will deliver 12 planes in 2024. That included four that were delayed from 2023.

In March, the airline was informed it will receive only eight of the 12 planes.

In July, Boeing told flydubai that it will not receive any additional aircraft beyond the four already delivered this year.

"We are doing everything we can to reduce the impact of the schedule changes on our customers without having to resort back to wet leasing additional aircraft. This remains an option to explore for the future if we have to," Mr Al Ghaith said.

"In line with these developments, we are in touch with our customers and travel partners regarding their refund or rebooking options."

Flydubai advised customers whose flights have been affected to visit its website or call the flydubai contact centre, the flydubai travel store or their travel agent.

"We apologise for the inconvenience caused to our customers’ travel schedules," Mr Al Ghaith said.

The flydubai chief joins a growing chorus of aviation leaders expressing frustrations about continuing aircraft delays. This comes as Boeing struggles with a safety and quality crisis, which was caused by a panel falling off a 737 Max jet in mid-air in January. Its rival Airbus is also struggling to reach production output goals.

Etihad Airways' chief executive Antonoaldo Neves this month said that when he meets Boeing's new chief executive Kelly Ortberg “sooner or later”, he will have one main request for the new leader of the company.

“When I meet him and I ask him one thing, it's going to be: 'please deliver my planes on time'”, Mr Neves said in an interview this month.

Mr Ortberg has pledged to “restore trust” in the embattled US aerospace company when he officially took charge on August 8.

Delays in delivering planes have hobbled global airlines' efforts to fully capitalise on the post-pandemic surge in air travel demand.

In July, Boeing's chief of commercial jets Stephanie Pope said the company had disappointed its customers but it was making transformational and systemic changes based on feedback from its employees, airlines and regulators.

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What: International friendly

When: 7pm kick off

Where: Rugby Park, Dubai Sports City

Admission: Free

Online: The match will be broadcast live on Dubai Exiles’ Facebook page

UAE squad: Lucas Waddington (Dubai Exiles), Gio Fourie (Exiles), Craig Nutt (Abu Dhabi Harlequins), Phil Brady (Harlequins), Daniel Perry (Dubai Hurricanes), Esekaia Dranibota (Harlequins), Matt Mills (Exiles), Jaen Botes (Exiles), Kristian Stinson (Exiles), Murray Reason (Abu Dhabi Saracens), Dave Knight (Hurricanes), Ross Samson (Jebel Ali Dragons), DuRandt Gerber (Exiles), Saki Naisau (Dragons), Andrew Powell (Hurricanes), Emosi Vacanau (Harlequins), Niko Volavola (Dragons), Matt Richards (Dragons), Luke Stevenson (Harlequins), Josh Ives (Dubai Sports City Eagles), Sean Stevens (Saracens), Thinus Steyn (Exiles)

Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

Timeline

2012-2015

The company offers payments/bribes to win key contracts in the Middle East

May 2017

The UK SFO officially opens investigation into Petrofac’s use of agents, corruption, and potential bribery to secure contracts

September 2021

Petrofac pleads guilty to seven counts of failing to prevent bribery under the UK Bribery Act

October 2021

Court fines Petrofac £77 million for bribery. Former executive receives a two-year suspended sentence 

December 2024

Petrofac enters into comprehensive restructuring to strengthen the financial position of the group

May 2025

The High Court of England and Wales approves the company’s restructuring plan

July 2025

The Court of Appeal issues a judgment challenging parts of the restructuring plan

August 2025

Petrofac issues a business update to execute the restructuring and confirms it will appeal the Court of Appeal decision

October 2025

Petrofac loses a major TenneT offshore wind contract worth €13 billion. Holding company files for administration in the UK. Petrofac delisted from the London Stock Exchange

November 2025

180 Petrofac employees laid off in the UAE

Name: Peter Dicce

Title: Assistant dean of students and director of athletics

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The specs

Engine: four-litre V6 and 3.5-litre V6 twin-turbo

Transmission: six-speed and 10-speed

Power: 271 and 409 horsepower

Torque: 385 and 650Nm

Price: from Dh229,900 to Dh355,000

Indoor cricket in a nutshell

Indoor Cricket World Cup - Sep 16-20, Insportz, Dubai

16 Indoor cricket matches are 16 overs per side

8 There are eight players per team

There have been nine Indoor Cricket World Cups for men. Australia have won every one.

5 Five runs are deducted from the score when a wickets falls

Batsmen bat in pairs, facing four overs per partnership

Scoring In indoor cricket, runs are scored by way of both physical and bonus runs. Physical runs are scored by both batsmen completing a run from one crease to the other. Bonus runs are scored when the ball hits a net in different zones, but only when at least one physical run is score.

Zones

A Front net, behind the striker and wicketkeeper: 0 runs

B Side nets, between the striker and halfway down the pitch: 1 run

Side nets between halfway and the bowlers end: 2 runs

Back net: 4 runs on the bounce, 6 runs on the full

Desert Warrior

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Rating: 3/5

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Sole survivors
  • Cecelia Crocker was on board Northwest Airlines Flight 255 in 1987 when it crashed in Detroit, killing 154 people, including her parents and brother. The plane had hit a light pole on take off
  • George Lamson Jr, from Minnesota, was on a Galaxy Airlines flight that crashed in Reno in 1985, killing 68 people. His entire seat was launched out of the plane
  • Bahia Bakari, then 12, survived when a Yemenia Airways flight crashed near the Comoros in 2009, killing 152. She was found clinging to wreckage after floating in the ocean for 13 hours.
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Updated: August 22, 2024, 9:51 AM