21,000 flights cancelled, thousands stranded, and airports shut, the cost of US-Iran war for Middle East

On February 28, the United States launched Operation Epic Rage against Iran. The US-Israeli offensive managed to topple Iran’s former Supreme Leader Ayatollah Ali Khamenei with an initial blow, but unlike the operation that captured former Venezuelan President Nicolás Maduro last month, Operation Epic Rage will be a long and grueling battle.

After the initial shock, Iran retaliated and vowed to inflict further damage on US assets and allies in the region, dragging the entire Middle East into conflict.

Airports were hit, flights were stopped

One of the worst affected was the travel and tourism sector, as flight operations came to a halt due to airspace closures by various countries in response to the conflict.

This is terrible news for the region, which is home to the world’s busiest airport and has become a global air transit hub connecting Europe, Asia and Africa.

More than 21,000 flights were canceled at major airports in the Middle East between February 28 and March 3, according to Flightradar24; the most affected were Dubai International (DXB) and Al Maktoum (DWC).

Five airports in four countries – the UAE, Kuwait, Bahrain and Iraq – were directly hit by Iranian retaliatory strikes, causing damage and operational disruptions there. Apart from this, Dubai International Airport, Abu Dhabi’s Zayed International Airport and Doha’s Hamad International Airport are major global travel hubs.

Although exact figures are not available, it is estimated that aviation hubs lost over $2.6 billion in revenue in the first four days of the conflict.

1.5 million passengers affected

Major Middle Eastern airlines, including Emirates, Etihad Airways, flydubai, Qatar Airways, Gulf Air, Saudia, Kuwait Airways and Jazeera Airways, have grounded almost their entire fleets, except for some regional operations.

Flight cancellations also left an estimated 1.5 million passengers stranded in the Middle East, and airlines were forced to offer free cancellations and reschedules to these passengers, further increasing the costs they had to bear.

In the UAE, the General Civil Aviation Authority (GCAA) announced that it will cover all accommodation, meals and rebooking costs for more than 20,000 passengers stranded in the country.

Worst crisis since Covid-19

Increasing fuel costs due to the ongoing war added to the difficulties of airline companies.

Accordingly Al JazeeraIndustry experts are describing the current crisis as the “largest shutdown” since the COVID-19 pandemic.

Loss of tourism revenue

In addition to airports and airlines, the Middle East’s tourism and hospitality industry is also paying the price of the war in lost revenue. Dubai is one of the most visited places in the world, and many cities and countries in the region have become increasingly dependent on tourism. As the ongoing war drags on, the sector is expected to lose billions of dollars in tourism revenue.

Cargo and oil movement hit

In addition, the Middle East is an important cargo hub that is once again facing losses worth billions of dollars due to flight cancellations and the closure of the Strait of Hormuz.

It is also one of the world’s most critical oil transit chokepoints, with approximately 20 percent of global oil and natural gas supplies passing through the Bosphorus each year.