Back to all transport news

Dubai’s vehicle rental sector sees strong growth in 2024

High-end vehicle rentals rose by 73 per cent, while electric vehicles within the rental fleet grew by 50 per cent

Gulf Business
Gulf Business

28 April, 2025

Dubai’s vehicle rental sector sees strong growth in 2024
Image: Dubai Media Office/ RTA

TT

16

Dubai’s Roads and Transport Authority (RTA) recorded sharp growth in the emirate’s vehicle rental sector in 2024, with the number of newly registered commercial vehicles rising about 43 per cent compared to the previous year, the authority said on Saturday.

The number of registered rental companies increased by around 33 per cent during the same period, with 867 new companies registered, bringing the total to 3,494, up from 2,627 in 2023.

The total rental fleet expanded to 71,040 vehicles from 49,725, according to figures from RTA’s Licensing Agency.

“The increase in the number of newly registered vehicles and companies operating in the commercial transport sector demonstrates Dubai’s competitiveness and appeal in attracting businesses to this sector,” said Ahmed Mahboob, CEO of the Licensing Agency at RTA. “It also underscores the emirate’s commitment to accelerating economic growth and fulfilling its overarching development vision.”

High-end vehicle rentals rose by 73 per cent, while electric vehicles within the rental fleet grew by 50 per cent compared to 2023, RTA said.

Commercial vehicle market is a key sector

The sector is seen as critical to supporting Dubai’s broader economic and trade ambitions, including the goals outlined in the Dubai Economic Agenda “D33”, which aims to position the city among the world’s top three economic hubs.

Mahboob said the RTA is continuing to enhance service delivery and regulatory frameworks to support the sector, including initiatives such as the Commercial Vehicle Life Extension Service, which allows vehicles that have exceeded the operational limit to be inspected and registered for an additional year.

Other initiatives include the Hourly Commercial Vehicle Rental Service, aimed at promoting safer and more efficient rentals, and the introduction of the Commercial Licensing System (CLS), which simplifies application procedures for investors and service providers.

The RTA has also extended the operational lifespan of electric vehicles from four to six years and introduced new categories for luxury and premium vehicles, with a lifespan of up to ten years.

The car rental sector remains a key pillar of Dubai’s economy, supporting both tourism and corporate business activities.

Rental operations are regulated through the TARS electronic rental system, which covers light and heavy vehicles and streamlines processes between rental companies and customers.

“The growth in activity within the vehicle rental sector further underscores RTA’s pioneering role in facilitating business operations in this domain,” Mahboob said.

Nord Lifestyle Development launches Dhs500m HENGE Residences

The project, located on Saadiyat Island, Abu Dhabi, marks the debut of Italian design house HENGE in the UAE real estate market

Gulf Business
Gulf Business

27 April, 2025

Nord Lifestyle Development launches Dhs500m HENGE Residences
Image: Supplied

TT

16

Nord Lifestyle Development, a boutique luxury real estate developer under Goldfield Holding, has launched HENGE Residences, a Dhs500m flagship project on Saadiyat Island, Abu Dhabi, marking the debut of Italian design house HENGE in the UAE real estate market.

The project, which marks the debut of Italian design house HENGE in the UAE real estate market, features a limited collection of 10-storey branded residences.

The development is located 20 minutes from Downtown Abu Dhabi and is near the Saadiyat Cultural District and NYU Abu Dhabi.

HENGE Residences: Key details

Situated in the Marina District, the development features 166 units, including studios, one-, two-, and three-bedroom apartments, and two duplexes, with a total built-up area of over 400,000 sqft.

Unit prices start at Dhs1.1m for studios and range up to Dhs4.7m for three-bedroom residences.

Interiors and furnishings are exclusively crafted by HENGE’s master artisans.

Each element, from bespoke furniture to material selection, is designed to reflect HENGE’s globally recognised aesthetic.

Lifestyle amenities include a health club with sauna and steam rooms, a temperature-controlled swimming pool, a dedicated children’s pool, indoor and outdoor play areas, a padel court, 24/7 security, full concierge services, and smart home automation.

Selected finishes incorporate natural marble, sintered stone, and natural wood accents, reflecting a commitment to design integrity and craftsmanship.

Completion is expected in Q1 2028.

Nord’s projects and brand promise

“Saadiyat Island is the cultural epicentre of Abu Dhabi, and partnering with a global icon in design allows us to offer a truly differentiated product that complements the island’s vibrancy, architecture, and global ambition,” said Maher Rahabi, CEO of Nord Lifestyle Development.

“We are making a clear statement about the value of creativity and hand-finished quality in every detail. We don’t mass-produce; what we’re creating is bold, soulful, and a true reflection of Nord’s long-term promise,” Rahabi added.

Nord Lifestyle Development projects approximately Dhs1bn in revenue over the next three years and currently holds Dhs342m in assets across Abu Dhabi.

The company plans to expand its development pipeline with three new projects scheduled for launch before the end of the year.

AKI sets the stage for continued growth, launches next-gen fulfilment centre

The centre will serve more than 30,000 business customers, as well as support home delivery services for consumers across the UAE

Gulf Business
Gulf Business

26 April, 2025

AKI sets the stage for continued growth, launches next-gen fulfilment centre
Image credit:

TT

16

Building on an entrepreneurial spirit spanning more than four decades, Al Khayyat Investments (AKI) has inaugurated a state-of-the-art Fulfilment & Innovation Centre in Dubai Industrial City, part of TECOM Group,, that will serve as a cornerstone for the company’s continued regional expansion.

The 1 million sq ft facility not only quadruples AKI’s fulfilment capacity but also raises the benchmark for agile, sustainable supply chain operations in the UAE. It already handles over half a million units per day, with the capacity to scale up to one and a half million units. The site also includes provisions to expand by nearly 200,000 sq ft in the near future. The centre will serve more than 30,000 business customers, as well as support home delivery services for consumers across the UAE.

A privately held Emirati holding company, AKI has continuously expanded its supply chain infrastructure over more than four decades. The company’s end-to-end, in-house capability enables AKI to meet ever-increasing customer expectations across multiple sectors including pharmaceuticals, medical and laboratory equipment, retail, food and non-food consumer goods, fitness, automotive, environmental services, contracting, and more.

New fulfilment center located in Dubai Industrial City

Zaid S Al Khayyat, MD of AKI, notes: “AKI was founded on a spirit of smart agility and entrepreneurial energy. This new Fulfilment & Innovation Centre carries forward these values as we aspire to seize new opportunities over the coming decades. Yet this facility is not just about enhancing our own operations. It is a strategic investment that creates long-term value for our partners and customers, while contributing to the UAE’s future-focused economy. Above all, it represents the power of our people driving our business forward every day.”

“Dubai Industrial City is proud to be the home of AKI’s new fulfilment centre,” says Saud Abu Alshawareb, EVP– Industrial at TECOM Group. “Our district’s proximity to Jebel Ali Port, Al Maktoum International Airport, and an Etihad Rail freight terminal enables connectivity for Al Khayyat Investments’ new fulfilment centre and sets it up for long-term success. Home to more than 1,100 manufacturing champions and 350 operational factories, Dubai Industrial City is committed to supporting such strategically significant projects, in line with Operation 300bn, Make it in the Emirates, and Dubai Economic Agenda ‘D33’.”

Samer Sabri, group chief supply chain officer at AKI, adds: “This facility is a testament to the extraordinary teams within AKI who embrace diverse thinking to push boundaries, do more, and set the benchmark in supply chain excellence. The facility will truly redefine AKI’s position within the UAE market, ensuring swifter and more efficient distribution capabilities for our growing business ecosystem.”

With connectivity to major transport and logistics networks, the facility allows for unrestricted movement of cargo to and from all major ports, Etihad Rail cargo terminal, as well as the eagerly anticipated expansions to Maktoum International Airport.

Yango Group’s Sergej Loiter on how AI is creating smarter experiences for communities, businesses and beyond

The CEO of Search, AI, and AdTech, Yango Group, shares at Dubai AI Week 2025 how Yango Group is using AI to power the human-like assistant, last-mile delivery, and smarter advertising, and what governments and businesses could consider for the future

Gulf Business
Gulf Business

25 April, 2025

Yango Group’s Sergej Loiter on how AI is creating smarter experiences for communities, businesses and beyond
Image: Supplied

TT

16

How is AI used across different verticals?

AI is now central to how industries operate, innovate, and serve people. In the UAE, 82 per cent of business leaders say AI already impacts their organisation’s achievements. What’s exciting is how AI adapts to each sector’s specific needs, moving beyond a one-size-fits-all approach.

In media and entertainment, for instance, AI is driving hyper-localised, culturally relevant experiences. Yasmina, the human-like bilingual AI assistant, is a prime example. Its LLM is trained extensively on Khaleeji content and refined through input from Arabic-speaking experts and even local comedians to ensure the humour, references, and style resonate authentically. Yasmina can assist with daily tasks like “How do you make Arabic coffee?” or explain complex topics like cloud seeding in simple terms. It reflects the Middle Eastern way of life, offering bedtime stories in both Arabic and English, and providing prayer time reminders with over 30 new Quran reciter voices introduced during Ramadan 2025. Through continuous training, Yasmina evolves to stay culturally relevant and human-like, aligning with the way people interact naturally in the region.

Among other examples of how AI is enabling the real world are last mile delivery and adtech solutions.

How do Yango’s autonomous delivery robots use AI?

In a time where consumers expect deliveries within minutes, our autonomous delivery robots, recently deployed in Dubai in partnership with ROOTS, are a strong example of AI’s practical benefits. Its AI-driven system ensures safe navigation even in complex city environments. The robots offer contactless deliveries within a two-kilometre radius in under 30 minutes.

They are electric-powered, helping reduce emissions in line with Dubai’s Autonomous Transportation Strategy, which aims to convert 25 per cent of all transportation to autonomous modes by 2030, reducing CO₂ emissions by 30 per cent. They support sustainability, reduce urban congestion, and give residents more flexible delivery options.

Do AI-powered ad tech platforms change the way businesses connect with their audiences?

Sure. I have a background in advertising, so it’s a subject close to my heart. I recall that even a decade ago we were successfully using AI-driven technologies to improve ad targeting and recommendations for businesses. And even today AI plays a role in the more operational or manual tasks. For instance, when it comes to visuals’ creation, AI-technologies can produce them faster and more efficiently. Now we see the whole ad campaigns in which all visual materials are generated by AI.

AI also proved to be efficient in ad moderation and fraud detection. At the same time humans still excel AI at understanding local contexts, cultural nuances, and emotional aspects of the marketing process, including selection of appropriate channels, and I believe this won’t change in the near future.

And what about the public sector using AI for services? What should governments consider if they want to use commercial AI for citizen-facing tasks?

The UAE is leading in AI adoption. I find the vision of the UAE leadership admirable as laid out in the country’s National Strategy for Artificial Intelligence 2031. It is an efficient and structured approach to step-by-step deployment of AI technologies framework that acknowledges the fact that AI is still very much a developing work in progress, and that trying to look at it solely from a hard regulatory perspective is not the right approach. And I honestly hope more governments in more countries adopt the UAE government’s flexible attitude towards AI.

When deploying AI, it is important to uphold ethical standards, protect privacy, remain inclusive, integrate seamlessly with existing platforms, and build public trust through transparency. With all this in place, AI-driven technologies can really form an efficient tandem with humans that benefits communities, businesses and beyond.

Pakistan airspace ban: Indian airlines to suffer higher costs

The worst impacted airport will be New Delhi, from where flights cross Pakistani airspace to fly to destinations in the West and the Middle East

Reuters
Reuters

25 April, 2025

Pakistan airspace ban: Indian airlines to suffer higher costs
Image credit: Getty Images

TT

16

Top Indian airlines Air India and IndiGo are bracing for higher fuel costs and longer journey times as they reroute international flights after Pakistan shut its airspace to them amid escalating tensions in Kashmir.

International airlines are not affected by the ban.

Read-Flyadeal confirms Airbus jet order for long-haul expansion

The impact of the airspace closure was visible starting late on Thursday, as Air India and IndiGo began to reroute flights to New York, Azerbaijan and Dubai – all of which typically use Pakistan airpsace, according to data from tracking website Flightradar24.

New Delhi Airport

The worst impacted airport will be New Delhi, one of the world’s busiest, from where flights cross Pakistani airspace to fly to destinations in the West and the Middle East. Data from Cirium Ascend showed IndiGo, Air India and its budget unit Air India Express have roughly 1,200 flights combined from New Delhi scheduled for Europe, the Middle East and North America in April.

Air India’s flights to the Middle East from New Delhi will now be forced to fly roughly an hour extra, which means higher fuel costs and less cargo to accommodate the extra fuel, said an Indian aviation industry executive, who declined to be identified.

IndiGo said on Friday “a few” of its flights will be impacted, while Air India said on X that some “flights to or from North America, UK, Europe, and Middle East will take an alternative extended route.”

“Air India is currently the most affected with the largest long- and ultra-long haul network out of Delhi,” said Ajay Awtaney, founder of aviation-focused website LiveFromALounge.

Indian airline industry: New set of problems

The airspace closure is the latest headache for the Indian airline industry, with expansion plans already complicated by jet delivery delays from Boeing and Airbus. Aircraft fuel and oil costs usually make up for about 30 per cent of an airline’s operating costs, by far the biggest component.

One Indian airline pilot told Reuters the move will disrupt schedules, but also force airlines to redo their calculations of flying hours in relation to regulations, and adjust their crew and pilot rosters accordingly.

Another executive at an Indian airline said the carrier was scrambling to assess the impact with some employees working late into the night on Thursday.

Both spoke on condition of anonymity as they were not authorised to brief media.

IndiGo flight 6E1803 from New Delhi to Baku on Thursday took 5 hours and 43 minutes via a longer route that involved going southwest to India’s Gujarat state and then over the Arabian Sea, before swinging back north over Iran to Azerbaijan, FlightAware data showed. The same flight, through Pakistan airspace, took 5 hours 5 minutes on Wednesday.

Pakistan has said the ban will be in place until May 23.

Rules in Oman: TikTok use, WhatsApp calls explained

The country’s laws are carefully developed, considering feedback from international companies offering these services

Nida Sohail
Nida Sohail

25 April, 2025

Rules in Oman: TikTok use, WhatsApp calls explained
Image credit: Getty Images

TT

16

Oman has introduced regulations for the use of VPNs and certain applications, such as WhatsApp calls and TikTok, in the country.

According to a report from the Oman Observer, companies running these services can either collaborate directly with telecom providers or work through them, explained a top official from the Telecom Regulatory Authority (TRA) during their annual media briefing on April 23.

The TRA also emphasised that it does not directly ban these applications, but regulates their services through licensing and by encouraging local companies.

Read-Plan to start a business in Oman? This is what you need to know

Although TikTok is not banned in the country, user issues are attributed to technical reasons.

Additionally, several TikTok users have started accessing the platform without a VPN.

All decisions made by the TRA aim to balance economic considerations with the needs of those benefiting from these services.

The country’s laws are carefully developed, considering feedback from international companies offering these services. The community also has the opportunity to voice its opinion, the official added.

More news in transport