UAE travel agents have advised residents not to expect cheaper airfares until after December, as a combination of peak seasonal demand and pre-set airline schedules keeps prices high. Easing geopolitical tensions are boosting consumer confidence, further fuelling demand for holiday travel.
Travel industry experts are advising UAE residents not to expect a drop in airfare prices until after the peak December travel season, despite an easing of regional geopolitical tensions. Airlines have already finalised their winter schedules and pricing strategies, leaving little room for immediate adjustments based on recent developments.
Sudheesh TP, Manager at Deira Travels, explained the delay:
“We haven’t seen too much of an impact yet—it is too early to see any visible change in travel patterns. Airline winter schedules are released four months in advance… A week of geopolitical issues easing won’t show impact immediately.”
The market is currently being driven by a convergence of high-demand periods, including Diwali, the upcoming UAE National Day holiday, and general long-weekend travel. This seasonal rush, combined with renewed consumer confidence, is pushing demand and prices upward.
Instead of a price drop, agents are observing robust demand across the board. “An easing in geopolitical tensions also brings back consumer confidence. It encourages more people to travel. All of this is pushing demand upward, not downward,” Sudheesh added.
This sentiment was echoed by Raheesh Babu, COO of Musafir.com, who noted that demand remains strong with flights operating at full capacity. “We saw a slight price drop in September and October purely due to geopolitical concerns, but that’s just temporary. Demand remains quite robust, with almost all flights full and no signs of passenger fear,” he stated.
Business travel has also returned to pre-2020 levels, further compounding the pressure on fares. Major trade events like Gitex and the Canton Fair in China are fuelling outbound corporate travel, contributing to the high occupancy on flights.
A recent report from Airports Council International (ACI) for Asia-Pacific and the Middle East highlighted that airfares in the region surged by 15% in the first half of 2025 compared to pre-pandemic levels. The report attributes the increase primarily to inflation and reduced airline competition rather than airport charges. The consistently high passenger traffic aligns with ambitious local targets, such as the goal for Dubai International Airport to handle 100 million passengers by 2027.
Stefano Baronci, Director General of ACI Asia-Pacific & Middle East, suggested that market liberalisation is key to making travel more affordable. He recommended that “policymakers should focus on liberalising markets such as open skies, market access, and efficient slot policy that can strengthen airline competition.”
For now, travel agents have a clear message for residents: book any essential December travel soon, but do not anticipate any last-minute bargains. “We don’t expect any price reduction until December is over,” confirmed Safeer Mahamood of Smart Travels.
