Business and pleasure: the Middle East is expected to be a hub for business aviation estimated to be worth more than $1 billion by 2018. Above, visitors tour Dubai's international airshow in November. Nikhil Monteiro / Reuters
Business and pleasure: the Middle East is expected to be a hub for business aviation estimated to be worth more than $1 billion by 2018. Above, visitors tour Dubai's international airshow in November.Show more

Serious fun in the air at Al Bateen



Next Tuesday, the Abu Dhabi Air Expo, the first, and so far, the only general aviation exhibition in the Middle East, throws its doors open at Al Bateen Executive Airport.

The three-day event is ostensibly "intended for owners, pilots, enthusiasts and professionals in the general aviation field" - a sort of carnival for all those who want to go messing about in flying machines; from helicopters and gliders, to tiny turboprop flying coupes or luxurious, upholstered jet-propelled drawing rooms.

This is an event for people who want to sell aircraft, learn to fly them, and even for those who want to jump out of them — with the aid of parachutes of course.

Fun for everyone from the flaky to the fabulously wealthy.

But the exhibition also marks Abu Dhabi as a key hub in a fast-growing aviation segment that links the West to the powerhouses of South East Asia. Behind all the fun, it is about the business-aviation market.

In a paper last March to the US National Business Aviation Association's 38th Annual International Operators Conference - one of the global showcases for the industry - Ali Al Naqbi, the chairman of the Middle East Business Aviation Association, forecast impressive growth for the region.

The number of business aircraft was expected to rise from the current 453 to 1,330 by 2019, and the number of business aircraft movements to jump from the current 110,000 to 160,000 by the end of this year. He valued business aviation in the region at US$493 million (Dh1.8bn) and predicted it would grow to more than $1bn by 2018.

It is against this background that the Abu Dhabi Air Expo takes place.

Yousif Hassan Al Hammadi,the chairman of the organising committee and deputy general manager of Al Bateen Executive Airport, is keen to play up the leisure potential of promoting general aviation.

"Most of the year the skies are clear here," he says. He also wants to poach the private pilot licence business from Florida, which also boasts sunny year-round skies.

Skydiving clubs and paragliding are also mentioned. "The Abu Dhabi Tourist Authority is one of our main sponsors", Mr Al Hammadi adds.

But once again after the play comes the more serious side.

"Al Bateen is in a strategic location. We are the best airport to serve private business aviation in the Middle East," says Mr Al Hammadi.

The business aviation world appears to agree.

Last week, DhabiJet, Al Bateen airport's fixed-based operator (FBO) - a provider of fuelling and other services to aircraft, and amenities for flight crews and passengers - made the top five in the European Business Air News FBO survey. For the past 20 years, the magazine has asked aircraft operators to rate FBOs on their facilities, services, staff and value for money.

This year it rated Al Bateen's DhabiJet FBO at number four in the world, making it the highest ranked FBO in the Middle East and one of just two FBOs in the Middle East to make the top 20 ahead of many bigger and long-established international brands.

The magazine's survey reflects Al Bateen's own findings. An in-house survey of visiting crew and VIP passengers ranked DhabiJet's services 9.28 out of 10 in overall satisfaction.

"In our first year of operation [with the new executive terminal] we were hoping to make the top 20", says Mr Al Hammadi, "But we made the top five."

Al Bateen's accomplishment follows a record year last year when overall commercial aviation movements rose 11 per cent compared with 2010, and there was a more than 50 per cent increase in visiting business aviation traffic, registering 8,775 commercial aircraft movements. The airport also attracted 124 first-time international business aviation customers.

Mr Al Hammadi's varied customers include royalty and Formula One drivers, all of them people who do not want to wait in queues, either on the ground or in the air. It is a clientele that is starting to grow again.

After the 2008 global downturn, the executive-jet industry suffered. The Canadian plane manufacturer Bombardier says: "The business-jet industry was clearly reminded of its cyclical nature when, in 2009, the precipitous and rapid decline of the demand resulted in cancellations exceeding gross orders."

Today, Bombardier adds, "the business-aircraft industry's market has turned the corner and is gaining momentum. Most key business jet indicators are showing signs of improvement. Sales of used aircraft are rising to pre-downturn levels.

"Signs of a market recovery are plenty, and it is expected that business-aircraft market deliveries will return to growth in 2012."

And nowhere more so than in the Middle East, says Bombardier in its influential commercial aircraft Market Forecast 2011-2030.

"Stimulated by a sustained economic growth, business aviation has been expanding fast in the Middle East, from 140 business aircraft in the region in 2004, to a total fleet of 380 at the end of 2010.

"Against the global backdrop of economic turmoil, the Middle East remains a strong market for business aviation. High prices for the region's oil exports, long distances between its major cities, and mediocre surface transport all help to support the business aviation industry, as does the fact that scheduled airlines services in the region tend to focus more on long-haul routes than on shorter ones."

Bombardier says its 20-year forecast predicts 24,000 business jet deliveries worth $626bn of revenue, with the worldwide business-jet fleet expected to grow at a compound annual growth rate (CAGR) of 3.8 per cent from 14,700 aircraft in 2010 to about 30,900 aircraft by 2030, net of retired aircraft.

In comparison it says the Middle East's 2010 fleet of 380 business jets will grow to 1,415 aircraft by 2030 with a fleet growth CAGR of about 7 per cent.

At the Abu Dhabi Air Expo, meanwhile, those who have a spare $53m can buy Embraer's Lineage 1000, a 19-seater, five-cabin plane with a bigger internal space than many studio apartments in Abu Dhabi.

On the other hand the Embraer Phenom 100 could be yours for just $4m, but that does not include maintenance, fuelling, or keeping the fridge full.

However, these days you do not have to buy an executive jet to enjoy the experience. Many operators offer leases, and there is even the aviation world's equivalent of timeshare, where you buy an annual option for a number of flying hours, summon an aircraft, and can fly until your hours run out.

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Dust and sand storms compared

Sand storm

  • Particle size: Larger, heavier sand grains
  • Visibility: Often dramatic with thick "walls" of sand
  • Duration: Short-lived, typically localised
  • Travel distance: Limited 
  • Source: Open desert areas with strong winds

Dust storm

  • Particle size: Much finer, lightweight particles
  • Visibility: Hazy skies but less intense
  • Duration: Can linger for days
  • Travel distance: Long-range, up to thousands of kilometres
  • Source: Can be carried from distant regions
if you go

The flights
Emirates flies to Delhi with fares starting from around Dh760 return, while Etihad fares cost about Dh783 return. From Delhi, there are connecting flights to Lucknow. 
Where to stay
It is advisable to stay in Lucknow and make a day trip to Kannauj. A stay at the Lebua Lucknow hotel, a traditional Lucknowi mansion, is recommended. Prices start from Dh300 per night (excluding taxes). 

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.”

ICC Women's T20 World Cup Asia Qualifier 2025, Thailand

UAE fixtures
May 9, v Malaysia
May 10, v Qatar
May 13, v Malaysia
May 15, v Qatar
May 18 and 19, semi-finals
May 20, final

Company Profile

Founders: Tamara Hachem and Yazid Erman
Based: Dubai
Launched: September 2019
Sector: health technology
Stage: seed
Investors: Oman Technology Fund, angel investor and grants from Sharjah's Sheraa and Ma'an Abu Dhabi

The biog

Name: Salvador Toriano Jr

Age: 59

From: Laguna, The Philippines

Favourite dish: Seabass or Fish and Chips

Hobbies: When he’s not in the restaurant, he still likes to cook, along with walking and meeting up with friends.

MATCH INFO

Manchester United 1 (Fernandes pen 2') Tottenham Hotspur 6 (Ndombele 4', Son 7' & 37' Kane (30' & pen 79, Aurier 51')

Man of the match Son Heung-min (Tottenham)

Profile box

Founders: Michele Ferrario, Nino Ulsamer and Freddy Lim
Started: established in 2016 and launched in July 2017
Based: Singapore, with offices in the UAE, Malaysia, Hong Kong, Thailand
Sector: FinTech, wealth management
Initial investment: $500,000 in seed round 1 in 2016; $2.2m in seed round 2 in 2017; $5m in series A round in 2018; $12m in series B round in 2019; $16m in series C round in 2020 and $25m in series D round in 2021
Current staff: more than 160 employees
Stage: series D 
Investors: EightRoads Ventures, Square Peg Capital, Sequoia Capital India

Champions parade (UAE timings)

7pm Gates open

8pm Deansgate stage showing starts

9pm Parade starts at Manchester Cathedral

9.45pm Parade ends at Peter Street

10pm City players on stage

11pm event ends

Boulder shooting victims

• Denny Strong, 20
• Neven Stanisic, 23
• Rikki Olds, 25
• Tralona Bartkowiak, 49
• Suzanne Fountain, 59
• Teri Leiker, 51
• Eric Talley, 51
• Kevin Mahoney, 61
• Lynn Murray, 62
• Jody Waters, 65

MEYDAN CARD

6.30pm Al Maktoum Challenge Round-1 Group One (PA) US$65,000 (Dirt) 1,600m

7.05pm Handicap (TB) $175,000 (Turf) 1,200m

7.40pm UAE 2000 Guineas Trial Conditions (TB) $100,000 (D) 1,600m

8.15pm Singspiel Stakes Group Two (TB) $250,000 (T) 1,800m

8.50pm Handicap (TB) $135,000 (T) 1,600m

9.25pm Al Maktoum Challenge Round-1 Group Two (TB) $350,000 (D) 1,600m

10pm Dubai Trophy Conditions (TB) $100,000 (T) 1,200m

10.35pm Handicap (TB) $135,000 (T) 1,600m

The National selections:

6.30pm AF Alwajel

7.05pm Ekhtiyaar

7.40pm First View

8.15pm Benbatl

8.50pm Zakouski

9.25pm: Kimbear

10pm: Chasing Dreams

10.35pm: Good Fortune

The biog

Favourite hobby: taking his rescue dog, Sally, for long walks.

Favourite book: anything by Stephen King, although he said the films rarely match the quality of the books

Favourite film: The Shawshank Redemption stands out as his favourite movie, a classic King novella

Favourite music: “I have a wide and varied music taste, so it would be unfair to pick a single song from blues to rock as a favourite"

Our family matters legal consultant

Name: Hassan Mohsen Elhais

Position: legal consultant with Al Rowaad Advocates and Legal Consultants.

THE%20SWIMMERS
%3Cp%3E%3Cstrong%3EDirector%3A%20%3C%2Fstrong%3ESally%20El-Hosaini%3C%2Fp%3E%0A%3Cp%3E%3Cstrong%3EStars%3A%20%3C%2Fstrong%3ENathalie%20Issa%2C%20Manal%20Issa%2C%20Ahmed%20Malek%20and%20Ali%20Suliman%C2%A0%3C%2Fp%3E%0A%3Cp%3E%3Cstrong%3ERating%3A%20%3C%2Fstrong%3E4%2F5%3C%2Fp%3E%0A
The biog

Age: 32

Qualifications: Diploma in engineering from TSI Technical Institute, bachelor’s degree in accounting from Dubai’s Al Ghurair University, master’s degree in human resources from Abu Dhabi University, currently third years PHD in strategy of human resources.

Favourite mountain range: The Himalayas

Favourite experience: Two months trekking in Alaska

MATCH INFO

Kolkata Knight Riders 245/6 (20 ovs)
Kings XI Punjab 214/8 (20 ovs)

Kolkata won by 31 runs

PROFILE OF CURE.FIT

Started: July 2016

Founders: Mukesh Bansal and Ankit Nagori

Based: Bangalore, India

Sector: Health & wellness

Size: 500 employees

Investment: $250 million

Investors: Accel, Oaktree Capital (US); Chiratae Ventures, Epiq Capital, Innoven Capital, Kalaari Capital, Kotak Mahindra Bank, Piramal Group’s Anand Piramal, Pratithi Investment Trust, Ratan Tata (India); and Unilever Ventures (Unilever’s global venture capital arm)

Strait of Hormuz

Fujairah is a crucial hub for fuel storage and is just outside the Strait of Hormuz, a vital shipping route linking Middle East oil producers to markets in Asia, Europe, North America and beyond.

The strait is 33 km wide at its narrowest point, but the shipping lane is just three km wide in either direction. Almost a fifth of oil consumed across the world passes through the strait.

Iran has repeatedly threatened to close the strait, a move that would risk inviting geopolitical and economic turmoil.

Last month, Iran issued a new warning that it would block the strait, if it was prevented from using the waterway following a US decision to end exemptions from sanctions for major Iranian oil importers.

MATCH INFO

Liverpool 0

Stoke City 0

Man of the Match: Erik Pieters (Stoke)

MATCH INFO

Uefa Champions League, semi-final result:

Liverpool 4-0 Barcelona

Liverpool win 4-3 on aggregate

Champions Legaue final: June 1, Madrid

Brief scoreline:

Toss: South Africa, elected to bowl first

England (311-8): Stokes 89, Morgan 57, Roy 54, Root 51; Ngidi 3-66

South Africa (207): De Kock 68, Van der Dussen 50; Archer 3-27, Stokes 2-12

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The specs: 2018 Jeep Grand Cherokee Trackhawk


Price, base: Dh399,999
Engine: Supercharged 6.2-litre V8
Gearbox: Eight-speed automatic
Power: 707hp @ 6,000rpm
Torque: 875Nm @ 4,800rpm
Fuel economy, combined: 16.8L / 100km (estimate)