11 December 2025 (Geneva, Switzerland) — 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. Middle East carriers are expected to deliver the highest net profit margin globally (9.3%) and the highest profit per passenger ($28.6)—well above the global averages of 3.9% and $7.9 respectively.
“The Middle East’s position as the most profitable region in 2026, in terms of profit margin and profit per passenger, underscores the benefits of strategic investment, supportive policy frameworks, and the region’s role as a global connecting hub. But this success is far from uniform. Several carriers continue to face severe financial pressure due to geopolitical instability, blocked funds, and uneven infrastructure development. Closing this gap must be a regional priority. A more harmonized regulatory approach and deeper cooperation will help ensure all markets can participate in—and benefit from—the region’s growth trajectory,” said Kamil Al-Awadhi, IATA Regional Vice President, Africa and Middle East.
Middle East airlines are forecast to generate $6.9 billion in net profit in 2026, reflecting the region’s strong fundamentals, including robust long-haul traffic, expanding hub capacity, and continued investment in infrastructure. By comparison, global industry net profit is projected to reach $41 billion, <a href="https://jordangazette.com/rta-launches-pilot-autonomous-robotaxi-service-in-collaboration-with-weride-and-uber/”>with a total of 5.2 billion passengers expected to travel worldwide. Cargo demand is expected to grow 2.6% globally, with Middle East cargo volumes remaining stable.
The regional passenger market is forecast to reach 240 million passengers in 2026, supported by an expected 6.1% growth rate, outpacing the global average of 4.9%.
Persistent Challenges Impacting Regional Development
Despite positive performance, the region faces several structural challenges:
IATA underscored the importance of greater cooperation to unlock aviation’s full potential in the Middle East. Key priorities include:
“Greater regional coordination is essential for the Middle East to realize its full aviation potential. An integrated air transport market, fair consumer protection rules, and clearing blocked funds will strengthen connectivity and efficiency across the region. And for states emerging from sanctions, creating clear pathways for safe reintegration is vital. By working together on these priorities, the region can ensure that aviation’s benefits are shared more evenly and sustainably,” said Al-Awadhi.
