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Airlines re-route, cancel flights due to India-Pakistan flare-up

Images from flight tracking websites showed a long line of airlines passing over Oman, UAE and Kuwait

Reuters
Reuters

08 May, 2025

Airlines re-route, cancel flights due to India-Pakistan flare-up
Image credit: Getty Images

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Airlines including United Airlines and Korean Air re-routed or cancelled flights and about a dozen Indian airports were shut on Wednesday after India struck nine sites in Pakistan, raising fears of an escalation.

India attacked Pakistani Kashmir and Pakistan said it had shot down five Indian fighter jets in the flare-up, which followed an attack by militants that killed 26 people in Indian Kashmir last month. India said it hit “terrorist infrastructure” related to the tourist killings. Pakistan rejects that it has such camps on its territory.

Images from flight tracking websites showed a long line of airlines passing over Oman, UAE and Kuwait after the attack, raising the possibility of airspace congestion.

Authorities in Pakistan said 57 international flights were in the country’s airspace when India struck. Prime Minister Shehbaz Sharif’s office said India’s action “caused grave danger to commercial airlines” belonging to Gulf countries and “endangered lives”.

India’s civil aviation ministry did not immediately respond to a request for comment on Pakistan’s remarks.

In the last few days, India and Pakistan had shut their airspaces to each other’s airlines. Global airlines like Lufthansa have also been avoiding Pakistan’s airspace.

“If the conflict continues, there is a chance that Pakistan could impose a full airspace closure, as they did from February to August 2019 under similar circumstances,” aviation advisory body OPSGROUP said in a blog post published Wednesday.

Domestic flights in both countries were also disrupted. Three percent of scheduled flights in India and 17 per cent of scheduled flights in Pakistan were cancelled, according to Flightradar24.

India’s top airline IndiGo said it was cancelling 165 flights till Saturday morning. Its shares were down 1.1 per cent. Flights belonging to Air India, SpiceJet and Akasa Air were also cancelled.

Pakistan said its airspace was open following closure after the attacks and that its airports were “fully functional.”

Images from FlightRadar24 showed some civilian jets flying over Pakistan airspace but India’s northwest continued to be deserted.

GPS spoofing concern

The changing airline schedules are set to further complicate operations in the Middle East and South Asia regions for carriers, which are already grappling with the fallout from conflicts in the two regions.

A spokesperson for Dutch airline KLM said it was not flying over Pakistan until further notice. Singapore Airlines said it had stopped flying over Pakistani airspace since May 6.

Korean Air said it had begun rerouting its Seoul Incheon–Dubai flights on Wednesday, opting for a southern route that passes over Myanmar, Bangladesh, and India, instead of the previous path through Pakistani airspace.

United Airlines said it had cancelled its flight to Delhi, citing in part “airspace limitations”. The US airline operates one direct flight from Newark to New Delhi.

American Airlines said it made adjustments to its operations to New Delhi and would allow customers impacted by the changes to change their plans without charge.

Thai Airways said flights to destinations in Europe and South Asia would be rerouted starting early on Wednesday morning, while Taiwan’s China Airlines said flights to and from destinations including London, Frankfurt and Rome had been disrupted.

Flights from India to Europe were also seen taking longer routes. Lufthansa flight LH761 from Delhi to Frankfurt took about half an hour more to reach its destination compared to Tuesday, according to FlightRadar24.

The Association of Asia Pacific Airlines voiced concern over the impact of conflicts on airline operations.

“Apart from cost and operational disruption, there are safety concerns as GPS spoofing interfering with flight operations over conflict zones is one of the highest risks the industry faces,” it said in a statement.

GPS spoofing is a malicious technique that manipulates Global Positioning System (GPS) data, which can send commercial airliners off course.

Curbing inflation: What Kuwait is doing to maintain price stability

The steps are part of a broader ministerial initiative to bring order to market dynamics and prevent price manipulation or supply disruptions

Nida Sohail
Nida Sohail

07 May, 2025

Curbing inflation: What Kuwait is doing to maintain price stability
Image credit: Getty Images

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The recently established Central Committee for Price Studies, Inflation Monitoring, and Supply Chains in Kuwait has officially begun its organizational work to control inflation and regulate prices.

Read-Kuwait unites oil giants: Merger of KNPC, KIPIC begins

The committee held its first meeting on May 6, during which key leadership positions were assigned and subcommittees were formed—signaling a serious governmental effort to recalibrate the country’s pricing system, an Arab Times report said.

Responsibilities of the committee

Chaired by the Ministry of Commerce and Industry in Kuwait, the committee is now set to execute its core field responsibilities. These include monitoring market prices, tracking inflation, protecting national products, and regulating supply chain operations.

The entity has also laid the groundwork for a series of intensive upcoming sessions to evaluate pricing requests from companies, review the introduction of new products, and ensure the availability of essential goods in local markets.

These steps are part of a broader ministerial initiative to bring order to market dynamics and prevent price manipulation or supply disruptions.

Four specialised subcommittees have been established for this purpose:

  • Price monitoring committee
    Responsible for observing market trends and approving any proposed price increases. No price changes will be permitted without prior approval from this committee. Adherence to regulatory frameworks remains essential to ensure market stability.
  • Inflation committee
    Tasked with analyzing both local and international economic indicators and recommending appropriate actions.
  • Market and supply chain regulation committee
    Charged with overseeing distribution networks and addressing potential bottlenecks in the system.
  • Strategic stockpile committee
    Focused on evaluating reserves of essential goods and preparing for emergencies.

Institutionalisation of the committee

Members of the committee and subcommittees will not receive any financial compensation, underscoring the initiative’s commitment to public service and institutional integrity.

According to sources, this reflects a clear intent to serve the public interest over personal gain.

Additionally, a dedicated team has been assigned to the secretariat to coordinate operations and provide periodic reports to the Minister of Commerce and Industry.

The coming weeks have been decided to be critical in assessing the committee’s effectiveness on the ground, particularly given challenges such as rising import costs, global market volatility, and seasonal demand pressures.

The committee has been granted the necessary authority and structure to play a proactive and robust regulatory role in stabilising the market.

Disney to open theme park resort on Abu Dhabi’s Yas Island

The move will further cement Yas Island’s reputation as one of the world’s top integrated leisure destinations.

Gareth van Zyl
Gareth van Zyl

07 May, 2025

Disney to open theme park resort on Abu Dhabi’s Yas Island
Image credit: Supplied

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Disney is bringing its magic to the Middle East.

In a landmark announcement, The Walt Disney Company has partnered with Miral to develop a Disney Theme Park Resort on Yas Island, Abu Dhabi. The project will mark Disney’s first theme park destination in the Middle East and only its seventh globally, joining its parks in California, Florida, Tokyo, Paris, Hong Kong and Shanghai.

Mohamed Abdalla Al Zaabi, CEO of Miral, confirmed the news in a message to stakeholders, calling it “the beginning of a transformative new chapter for tourism and entertainment across the region.”

“This is not just a project,” Al Zaabi said. “It’s a testament to what visionary leadership, bold ambition, enduring partnerships, and unwavering commitment can accomplish.”

The announcement was made in the presence of His Highness Sheikh Khaled bin Mohamed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi and Chairman of the Abu Dhabi Executive Council. His Highness underscored that the development reflects Abu Dhabi’s growing global standing as a premier leisure tourism destination. He also linked the move to the emirate’s broader strategy of economic diversification, particularly through cultural and creative industries.

During the announcement, Sheikh Khaled was joined by senior officials including His Excellency Mohamed Khalifa Al Mubarak, Chairman of the Department of Culture and Tourism – Abu Dhabi and Miral; and Mohamed Ali Al Shorafa, Chairman of the Department of Municipalities and Transport.

The new resort, to be developed and operated by Miral, will showcase Disney’s legendary storytelling, attraction design and operational excellence. Disney will lead on creative and technological development, while Miral will oversee construction and long-term operations.

A concept image of the future Disney theme park development in Abu Dhabi. (Image: Supplied)

Bob Iger, CEO of The Walt Disney Company, called the project “an extraordinary opportunity for Disney to bring its renowned storytelling to yet another region of the world.”

“Abu Dhabi’s position as an international crossroads, its embrace of global culture, and its ambitious vision for the future make it a perfect location for Disney to reach millions of new families,” Iger said.

Josh D’Amaro, Chairman of Disney Experiences, added that the resort will “push the boundaries of theme park design” with a “modern castle unlike anything we’ve ever created.”

Miral’s Chairman, Mohamed Khalifa Al Mubarak, said the collaboration “demonstrates the remarkable results of combining visionary leadership and creative excellence.” He described the upcoming park as “a whole new world of imagination” that will inspire generations across the region.

The resort joins Yas Island’s growing portfolio of world-class attractions, which includes SeaWorld Abu Dhabi, Warner Bros. World, Ferrari World, Yas Waterworld, and Etihad Arena.

No official opening date has been confirmed yet.

Dubai property prices set to double in next 5 years, says Driven CEO

The forecast comes amid the emirate’s recent strong growth in real estate prices

Gareth van Zyl
Gareth van Zyl

07 May, 2025

Dubai property prices set to double in next 5 years, says Driven CEO
Abdullah Alajaji, CEO and founder of brokerage firm Driven | Forbes Global Properties.

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Dubai’s real estate prices could double within the next five years, says Abdullah Alajaji, CEO and founder of brokerage firm Driven | Forbes Global Properties.

The forecast comes amid the emirate’s recent strong growth in real estate prices. Dubai’s real estate market recorded 217,000 investments valued at Dhs526bn in 2024, reflecting growth rates of 38 per cent and 27 per cent in terms of number of transactions and value respectively, according to data from the government of Dubai.

But Alajaji, who launched a new report benchmarking Dubai against the world’s most established global cities earlier this week, said there’s still more room to grow as property prices in Dubai are still lower than counterparts such as New York and Singapore.

“Our thesis here is, if we’re still at one-fifth of the prices of global cities, and the cap rates are still more than double global cities, we do expect that… prices will go up,” Alajaji told Gulf Business.

Cap rates, the rental return on a property relative to its total value, are central to Alajaji’s argument.

“The cap rate is basically the yield that a property generates relative to its full value,” Alajaji explained. “For example, if you’re renting a property that nets you $50,000 a year and the value is $1m, it’s a 5 per cent cap rate.”

He added that unlike previous real estate cycles, current prices are supported by fundamentals. “I would compare this time to pre-2008. Back then, every single area went up at the same level — you’d see 30 to 40 per cent increases in a single year, whether you were in JVC or Palm Jumeirah. But rental yields were much lower. Today, rents have gone up in tandem with prices, which suggests real demand.”

Dubai’s position as a Tier-1 city

The report released by Driven earlier this week, entitled Dubai on the Verge of Tier-1 City Recognition, introduces the company’s Tier-1 City Index. It benchmarks Dubai against New York, London, Paris, Singapore, Sydney and Hong Kong across 28 indicators including infrastructure, quality of life, safety, economic depth and international appeal.

Dubai ranked fifth out of seven global cities in the index, with standout scores in infrastructure (2nd), international appeal (3rd), safety and security (4th), and quality of life (4th).

Alajaji also highlighted the strength of Dubai’s transaction activity.

“The value of transactions in Dubai reached around $200bn last year — three times higher than London,” he said. “That signals maturity. It shows there’s real depth and liquidity.”

The report found that 43 per cent of survey respondents believe Dubai’s property prices are fairly valued, while 35 per cent saw them as somewhat overvalued. Just 11 per cent believed they are undervalued.

As for market sentiment, Alajaji said: “Overall, we see a stabilisation of the market. The way I would navigate it… is to look at areas that have limited supply of new land available for development.”

He remains bullish on the city’s long-term potential. “We continue to invest in the growth of the city,” he said. “We like it, we enjoy it, and we have fun doing it — so we’ll continue doing so.”

‘Authenticity still matters’: CARMA’s Mazen Nahawi on AI, trust and media’s next frontier

In this interview, Nahawi explains why cultural nuance still trips up AI in the Middle East, which jobs will go — and which will rise — and why Gen Z’s demand for authenticity is shaping the future of PR

Gareth van Zyl
Gareth van Zyl

07 May, 2025

‘Authenticity still matters’: CARMA’s Mazen Nahawi on AI, trust and media’s next frontier

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Artificial Intelligence (AI) is shaking up every industry, from marketing to media. But for Mazen Nahawi, founder and Group CEO of CARMA, the real question isn’t whether to use AI. It’s how to use it without losing trust.

Nahawi leads one of the region’s top media intelligence firms. For over 25 years, he’s helped brands and governments understand their reputations — and measure the real impact of communications.

On 23 April, he took the stage at the Gulf Business Business Breakfast in Dubai to deliver a keynote on how trust and reputation are changing in the age of AI. His message? Data must be trusted. Human insight still matters. And AI is only as good as the people guiding it. (You can watch his keynote below.)

In this interview, Nahawi explains why cultural nuance still trips up AI in the Middle East, which jobs will go — and which will rise — and why Gen Z’s demand for authenticity is shaping the future of PR.

In your keynote at the Gulf Business tech panel last month, you mentioned that AI struggles with cultural nuance. How serious is this issue when analysing media in a region as diverse as the Middle East?

This is a valid concern which can potentially pose challenges for organisations which are utilising, or in the process of adapting AI in business. AI models, especially those trained predominantly on Western datasets, often fail to capture the rich tapestry of languages, dialects, and cultural contexts in the Middle East. For instance, generative AI tools have exhibited biases, such as underrepresenting certain groups or misinterpreting cultural symbols.

You describe AI as the “greatest accelerator on Earth,” yet heavily flawed. Where should companies draw the line between embracing AI and relying too much on it?

While AI offers immense potential for efficiency and innovation, overreliance without proper oversight can be detrimental. A Boston Consulting Group study revealed that 74 per cent of companies struggle to achieve and scale value from AI, often due to inadequate integration and unclear objectives. It’s important to remember that AI should augment human decision-making rather than replace it, maintaining a balance that leverages AI’s strengths while preserving human judgment and ethical considerations. This ensures that human roles evolve to strategic interpreters, providing reassurance about the future of their roles.

Mazen Nahawi, the CEO of CARMA.

One of your slides stated that ‘jobs will go, but value remains.’ What kinds of jobs do you think are most at risk—and which new roles do you see emerging?

Jobs involving repetitive and routine tasks, such as data entry or basic analysis, are most susceptible to automation. A survey indicated that 26 per cent of workers fear AI could lead to job losses, particularly in roles with limited complexity. However, the industry is also seeing a rise in roles that require creativity, strategic thinking, and emotional intelligence. This underscores the growing importance of these roles and the value they bring to the industry.

You noted that 82 per cent of Gen Z prefer brands using real people over AI avatars. How do you think this shapes the future of PR and advertising in the AI era?

The preference of 82 per cent of Gen Z for brands using real people over AI avatars underscores the importance of authenticity in brand communications. As AI-generated content becomes more prevalent, consumers, especially younger demographics, seek genuine human connections. This preference for authentic human narratives in marketing highlights the need for brands to focus on integrating AI to enhance, rather than replace, genuine storytelling. This reiteration of the importance of authenticity in brand communications helps the audience feel connected and engaged with the content, and further confirms the enduring significance of human connection in relation to AI.

You showed examples of AI-generated images failing to grasp basic human concepts, like a left-handed person writing. Do you think this lack of ‘human understanding’ is a temporary problem or a permanent limitation when it comes to AI?

While AI continues to improve, certain limitations persist. Studies have shown that humans struggle to distinguish between authentic and AI-generated images, with a misclassification rate of 38.7 per cent. This indicates that AI can produce convincing visuals but often lacks contextual understanding. These shortcomings suggest that while technical advancements continue, AI may always require human oversight to ensure accurate and culturally sensitive outputs.

You said that ‘authenticity still matters.’ How can organisations ensure their use of AI aligns with authentic storytelling and brand trust?

Organisations should prioritise transparency in their use of AI, clearly communicating when and how AI is utilised in content creation. Emphasising human stories and experiences remains crucial. By combining AI’s capabilities with genuine human insights, brands can maintain authenticity and foster deeper connections with their audiences.​

What role do you see human consultants and analysts playing in an age where AI can generate basic reports and trend summaries?

Human consultants and analysts will transition from data gatherers to strategic interpreters. While AI can process and summarise vast amounts of information, humans provide context, ethical considerations, and complex understanding. As highlighted in recent reports, the emergence of AI-driven consulting firms showcases the blend of AI efficiency with human expertise, emphasising the continued importance of human roles in strategic decision-making. ​

If trust is the new currency, how can businesses ensure their AI tools and data use maintain public trust—especially in reputation-sensitive industries like government, healthcare, or finance?

Maintaining public trust requires transparency, accountability, and ethical use of AI. Businesses should implement clear policies on AI usage, ensure data privacy, and involve human oversight in critical decisions. Regular audits and open communication about AI’s role in services can further bolster public confidence.

Major workforce shift: Saudi Arabia plans new test for employees

Employees have the right to object to test results within 30 days of notification and its framework aligns with international best practices

Nida Sohail
Nida Sohail

07 May, 2025

Major workforce shift: Saudi Arabia plans new test for employees
Image credit: Getty Images

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The Ministry of Human Resources and Social Development (MHRSD) in Saudi Arabia plans to introduce mandatory occupational fitness testing for employees across the government, private, and non-profit sectors, including individuals taking up new jobs in these sectors.

Read- Saudi’s business boost: Here are the latest tax exemptions

According to a report by the Saudi Gazette, these tests will be conducted under specific conditions.

The ministry has published the National Regulations for Occupational Fitness Tests on the Istitlaa Public Survey platform to gather feedback from the public and stakeholders before enforcing the regulations.

Types of tests

There will be three types of tests for employees: general medical testing, specialised additional testing, and psychological testing.

These tests aim to monitor individual health and promote occupational well-being through pre-employment and periodic employee evaluations. The initiative seeks to reduce work-related accidents and diseases and improve workplace environments in Saudi Arabia.

Framework for health assessment

The regulations are designed to establish a comprehensive framework for assessing employees’ physical and psychological fitness, ensuring they can perform their duties safely and effectively.

The testing framework aligns with national standards and international best practices. It aims to reduce occupational injuries and diseases, enhance worker fitness, and ensure job performance safety.

Who the regulations apply to

The regulations apply to all employees in the public, private, and non-profit sectors. This includes:

  • New hires before appointment
  • Current employees under specific conditions, including:
    • After an occupational injury
    • Upon return from extended medical leave
    • When there are doubts about the employee’s ability to perform duties
    • When the job requires periodic medical examinations
    • When an employee changes roles or professions
    • If the work environment changes
    • When new equipment or machinery is introduced
    • Upon retirement, if the worker was exposed to hazardous substances such as asbestos

These regulations do not apply to medical examinations unrelated to job duties.

Pre-employment medical examinations

The regulations outline procedures for medical examinations for those in high-risk roles, standardise examination forms, and define periodic and exceptional examinations suitable for each profession. They also provide a comprehensive health database for all workers and promote compliance with local and international occupational safety standards.

Who conducts the medical examinations?

Occupational fitness assessments must be carried out by a specialized team, supervised by a certified occupational medicine specialist accredited by the Saudi Commission for Health Specialties and registered with the National Council for Occupational Safety and Health.

Employment categories after medical testing

Following the pre-employment examination, candidates will be classified as:

  • Medically fit and permitted to practice the job
  • Medically fit with restrictions or considerations, including time limitations
  • Medically unfit, with restrictions or considerations, including time limitations

If a worker fails to meet fitness requirements in a periodic test, they will be prohibited from continuing in their current role, and management must take steps to reassign them.

Objection to test results

Employees have the right to object to test results within 30 days of notification. An independent review committee comprising specialists in occupational medicine and related fields will issue a decision within 15 days of receiving the objection.

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