Skift Travel News Blog

Abu Dhabi-based carrier Etihad Airways has got the former boss of Portugal’s national carrier TAP, Antonoaldo Neves, as its new CEO.

Etihad’s earlier boss Tony Douglas had agreed to join RIA — Saudi Arabia’s newest airline. Earlier reports had suggested that global consulting firm Korn Ferry had been looking to find a replacement for Douglas.

Neves’ appointment news comes a day after reports of the Supreme Council for Financial and Economic Affairs transferring full ownership of Etihad Aviation Group to ADQ, an Abu Dhabi-based investment and holding company.

“The transfer complements ADQ’s efforts to realize Abu Dhabi’s vision to strengthen the emirate’s position as a global aviation hub  delivering integrated and competitive aviation services,” a release from the investement company stated on Tuesday.

Earlier this year, Etihad Aviation Group’s ancillary businesses were transitioned into ADQ to create a new integrated aviation support services company.

After the privatisation of TAP in 2015, the airline was renationalized during Covid. As a result of the exit of private shareholder David Neeleman, Neves’ stint with the Portugese carrier came to an end in September 2020.

Soon after his exit from TAP, Neves went on to launch a startup — P2D Travel, which Neves himself describes as “a platform to empower anyone to earn money by selling travel on social networks.”

In August 2021 it had been reported that his startup had received an investment from Point Break Capital, which valued the company at over $12.7 million.

In a bid to encourage tourists to explore the region by road, the 10 member states of the Association of Southeast Asian Nations (ASEAN) have come up with a driving tourism manual.

The guidebook contains information on driving in Thailand, Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, Philippines, Singapore, and Vietnam and also includes a list of suggested tour routes.

Available for free download, the guidebook is an initiative under the ASEAN Tourism Strategic Plan 2016-2025, with Thailand’s Department of Tourism as its main coordinator.

The ASEAN Tourism Strategic Plan 2016-2025, sought to implement the agreement on the recognition of domestic driving licenses issued by ASEAN members states to promote drive/overland tourism across the region.

The information in the manual has been collated to help make the self-drive journey a seamless one among destinations in the region, based on connectivity, openness and mutual sharing of tourism experiences.

Designed to help driving tourists create their own itineraries, the guidebook contains information to help tourists traveling to Southeast Asia by land, including visa and entry requirements, vehicle permits, cross-border procedures, required documents, speed limits as well as emergency contact numbers.

A map also indicates the countries that drive on the left side of the road and those that drive on the right side.

To encourage tourists to explore lesser-known destinations, the guidebook also recommends self-drive routes for each country covering major highlights and second-tier destinations, and cross-border routes combining different countries.

The self-drive tourism manual is meant for travellers coming from within Southeast Asia as well as for international tourists coming from other continents, Yuthasak Supasorn, the governor of Tourism Authority of Thailand said in a press statement on Monday.

“International travelers could, for example, combine a visit to Thailand with visits to Laos, Myanmar, Cambodia, or Malaysia to be enjoyed at their own pace, along their own routes while exploring the many diverse cultures, attractions, and landscapes of this fascinating region,” Supasorn said.

Despite the requirement to present a negative Covid-19 test to enter Qatar, flight bookings to the country for travel during FIFA World Cup — between November 14 and December 24 — have witnessed a massive boom, according to ForwardKeys’ data based on issued flight tickets, including day trips.

The flight bookings to Qatar from countries, including United Arab Emirates (UAE), Spain, Japan France and the U.S., are currently ten times the volume of pre-pandemic levels, according to data analytics firm ForwardKeys. 

The strongest-performing market during the World Cup period is United Arab Emirates, where bookings are currently ahead 103 times compared to 2016. The benchmark period for United Arab Emirates is 2016 as the Qatar diplomatic crisis stopped direct flights between Qatar and the UAE between 2017 and 2021.

Bookings from Mexico have gone up 79 times compared to 2019, while bookings from Argentina are up 77 times. The bookings from Spain and Japan have gone up 53 times and 46 times respectively.

The shortage of accommodation in Qatar and the availability of shuttle flights from cities in the United Arab Emirates will allow many people to stay in the UAE and fly over for on match days. The flight time between Dubai and Doha is a little over 60 minutes.

The UAE’s hospitality market is set to expand by 25 percent by 2030, with a further 48,000 rooms adding to the nation’s extensive 200,000 key portfolio, global consultancy firm Knight Frank noted in Sepetember.

Dubai is set to account for the lion’s share of this total, with 76 percent of all new rooms coming to the emirate, which already has over 130,000 rooms, Knight Frank fother observed.

Currently, day trips account for 4 percent of all arrivals in Qatar during the World Cup, 85 percent of which originate in the UAE.

The World Cup is set to benefit the whole Gulf region, as flight bookings to countries in the region during the competition are currently 16 percent ahead compared to 2019, and, for the initial stages of the tournament 61 percent ahead.

Many World Cup visitors would also be travelling to other destinations in the region as the number of visitors staying at least two nights in Qatar and going on to stay at least two more nights in another Gulf country is sixteen times greater than it was before the pandemic.

Set to capture 65 percent onward visits, Dubai is the biggest beneficiary of this trend by far, followed by Abu Dhabi with 14 percent and Jeddah would be capturing 8 percent of these visits.

U.S. travelers make up 26 percent of the “regional tourists,” followed by travelers from Canada at 10 percent and British tourists at 9 percent. Around 32 percent of travelers coming in to Dubai would be from the U.S.

The FIFA World Cup is one of the most attractive drivers of travel there is, so much so, that other destinations in the Gulf will benefit, not just the host nation, Qatar.

In tourism promotion terms, the World Cup will throw a media spotlight on Qatar and help it become a more established destination, and not just a major hub for intercontinental air traffic.

“Normally, just 3 percent of travel to Doha is destined to stay in the country; and 97 percent comprises onward connections. However, during the World Cup almost 27 percent has Qatar as the ultimate destination,” said Olivier Ponti, VP Insights of ForwardKeys.

Ponti said that the UAE would also benefit substantially from the tournament because it has much more hotel accommodation than Qatar, and two global hub airports in Dubai and Abu Dhabi.

Indonesia’s leading online travel agency Traveloka will be receiving a fresh round of funding of $300 million from Indonesia Investment Authority — the newly-formed sovereign wealth fund of Indonesia, investment management agency — BlackRock, Allianz Global Investors, Orion Capital Asia and other global financial institutions.

The financing round is said to have attracted significant interest from a number of long-term capital providers, resulting in an oversubscribed transaction, according to an Indonesia Investment Authority release on Thursday.

A Skift article in June had mentioned that the online travel unicorn had been looking to raise over $200 million, having already raised a total of $1.2 billion in funding across six rounds.

The financing would allow Traveloka an opportunity to further strengthen its balance sheet and enable the online travel company to continue to focus on its core business while also building for the future, Ferry Unardi, CEO and co-founder of Traveloka, said.

The pandemic has heightened the expectation for digital products, Shirley Lesmana, chief marketing officer of Traveloka, had said while speaking at the Skift Global Forum in New York last week.

With online travel agencies in Indonesia seeing their share of gross tourism booking increase from 24 percent pre-pandemic to 33 percent in 2021, the expectation is to reach 36 percent by 2024, said Ridha Wirakusumah, CEO of Indonesia Investment Authority.

With the pandemic having accelerated digital transformation, the financing would support Traveloka’s digital ecosystem growth in the travel sector while allowing the company to grow further, the release from Indonesia’s sovereign wealth fund stated.

“The financing aligns with Indonesia Investment Authority’s mission to create prosperity for Indonesia in the long term, by laying down the foundation for a sustainable digital ecosystem, including digital infrastructure, digital services and digital platforms — which will go a long way to drive economic recovery and growth,” Wirakusumah said.

Representatives from the financial institutions commended Traveloka’s resilience in navigating the Covid crisis and called the online travel company Indonesia’s national and regional champion and a key catalyst toward digitalization of travel and accommodation in the country and the region.

In the latest round of easing travel restrictions, tourists coming in to Taiwan will not be asked to undergo mandatory Covid-19 quarantine from October 13, the ministry of health and welfare announced on Thursday.

From October 13, inbound arrivals to Taiwan would require to self-monitor for seven days instead of undergoing mandatory quarantine.

While the government has scrapped the requirement for polymerase chain reaction tests for inbound travelers, passengers aged two and above would receive four rapid test kits on arrival and are advised to test on the day of arrival or the next day.

Travelers seeking to step out during the seven-day self-monitoring period would be required to take a rapid antigen test.

While opening borders to travelers from all countries, the government has also raised the weekly limit for international visitors from 60,000 to 150,000, and announced the resumption of group tours.

On September 12, Taiwan restored visa-free entry for visitors from 54 countries, including the U.S., Canada, Europe, Australia, New Zealand, and diplomatic allies. From Thursday onwards, 11 more countries were included in the visa exemption list, which includes Japan, South Korea, Singapore, Malaysia, Thailand and the Philippines.

Following last week’s announcement of the Mainland Affairs Council, entry requirements for select categories of Chinese, Hong Kong, and Macau nationals have also been relaxed from Thursday onwards.

Even as many Asian destinations have scrapped most of the Covid-19 related entry restrictions, Taiwan had resorted to a strong zero-Covid policy for more than two years, where arrivals were still required to undergo a mandatory three-day quarantine at home or at a hotel, followed by four days of self-monitoring.

Taiwan had also banned inbound and outbound tour groups for more than two years.

Jumeirah Group said Wednesday it hired Katerina Giannouka, a top executive for Radisson in Asia, as its new CEO. The announcement was made by Dubai Holding, a global investment firm owned by the ruler of Dubai for which Jumeirah is part of.

Giannouka, who will be taking over as the CEO in December, succeeds Jose Silva as the fifth CEO of Jumeirah. She joins Jumeirah from Radisson Hotel Group, where she serves as president of Asia Pacific. Prior to this, she led the Asia-Pacific and China development team of Rosewood Hotels & Resorts.

In an internal email sent last week, Silva had announced his decision to step down. Chief operating officer Thomas Meier had been named the interim CEO.

“Given Katerina’s (Giannouka) impressive track record as a transformative business leader, as well as her luxury hospitality background and drive to create resilient teams and culture, I am confident that she will build on Jumeirah’s incredible success story and lead the business to new levels of sustainable and accelerated growth across the world,” Amit Kaushal, Group CEO of Dubai Holding said in a press statement.

Giannouka said she’s keen to unlock the potential of the Jumeirah brand and sustainably secure its position on the world stage as the “top luxury Emirati hospitality brand recognised and sought-after globally.”

Jumeirah Group, a global luxury hotel company, which operates a 6,500-key portfolio of 25 luxury properties across the Middle East, Europe and Asia, opened new resorts in Bali and Muscat earlier this year. The group will also be opening more properties in Bahrain and Saudi Arabia in the coming months.

SoftBank Group has reportedly cut the valuation of Indian hotel-booking platform Oyo by more than 20 percent, Bloomberg reported on Thursday quoting people familiar with the matter.

According to the report, the Japanese investor, who owns 45 percent of Oyo, cut its estimated value for initial public offering-bound Oyo to $2.7 billion in the June quarter from an earlier $3.4 billion. In 2019, Oyo had been valued at $10 billion.

The $2.7 billion valuation is lower than the $3.23 billion that Oyo has been able to raise through primary and secondary equity and debt funding rounds from investors. 

Calling the valuation markdown a speculation and “patently incorrect,” Oyo said that having clocked $1 million in earnings before interest, taxes, depreciation, and amortization in its fiscal 2023 first quarter, there is no rational basis for a markdown.

“A 41 percent gross profit margin and a 45 percent increase in gross booking value per hotel per month compared to the last financial year are dramatically improved results and the strong performance trajectory is expected to continue,” Oyo said in a statement.

Earlier this week, Oyo updated its initial public offerings application to the Indian regulatory body — Securities and Exchange Board of India (SEBI). The company originally planned to raise around $1.16 billion through the initial public offering, seeking a valuation of around $12 billion.

Oyo said that SEBI has given the company permission to file updated financials till the September 2022 quarter and Oyo would initiate the approval process post the filing of its audited numbers. “We have not decided the exact timing for the IPO and the IPO valuation is also highly speculative,” Oyo added.

Abu Dhabi-based Etihad Airways CEO Tony Douglas has agreed to join RIA — Saudi Arabia’s newest airline, according to reports.

It had been earlier reported that RIA, the multi-billion-dollar international carrier, had approached Douglas for the top job. Douglas has apparently agreed and other senior Etihad executives may follow him, according to Arabian Business.

Global consulting firm Korn Ferry has been tasked with the job to find a replacement for Douglas, the publication added quoting sources.

The head hunting firm is said to be in preliminary talks with three senior aviation names for the top job at Etihad, even though employment offers haven’t yet been made, according to Bloomberg.   

Douglas has been leading Etihad since 2018. He had also served as the CEO of Abu Dhabi Airports Company and Abu Dhabi Ports Company, prior to which he was the chief operating officer and group chief executive designate of UK’s largest privately-owned construction company Laing O’Rourke.

Under Douglas’ leadership, Etihad had reported a record-breaking core operating profit of $296 million for the first half of 2022, despite fuel costs increasing by almost 60 percent compared to the same period in 2021.

“Etihad is emerging from the pandemic stronger than ever, with a world-class fleet, an unmatched customer proposition and sustainability woven into every fibre of our business,” Douglas had said while announcing the financial results.

As Saudi Arabia pivots from its oil-based economy, the tourism sector has been a strong focus for the country that was closed to tourists till 2019.

The introduction of tourist visas in September 2019, was followed by the introduction of electronic tourist visas this month for residents of Gulf Cooperation Council (GCC) countries.

With an ambitious goal to reach 100 million tourists per year by 2030, the kingdom has been hard working to expanding its international air connectivity. 

Riyadh-based RIA will be the second airline for the kingdom, national carrier Saudia operates from Jeddah. Saudi Arabia’s Public Investment Fund has reportedly invested $30 billion to get the airline off the ground. 

Inbound arrivals to Hong Kong will not be required to undergo mandatory hotel quarantine from September 26.

Chief Executive John Lee made an announcement on Friday marking an end to some of the strictest restrictions imposed by a country during the pandemic.

Hong Kong has also replaced the requirement of a pre-arrival polymerase chain reaction test with a rapid antigen test taken within 24 hours of departure.

Inbound arrivals would still need to take a test at the airport but unlike earlier where they had to wait for the results, this would be more of a test-and-go measure and travelers would also be able to take public transport from the airport.

However, they would be required to self-monitor at home for three days and would not be able to dine in at restaurants and visit bars. On days 4 and 6, travellers would need to take mandatory polymerase chain reaction tests.

One of the last few destinations that still follows a stringent Covid policy for inbound arrivals, Hong Kong has been progressively easing restrictions, the pace of which quickened after Lee took charge as the city chief.

Daily Covid cases in Hong have now fallen below 6000.

Lo Chung-mau, the city’s health chief, mentioned that the shortening of the quarantine period in August to three days in a hotel and four at home had resulted in a 20 percent increase in inbound arrivals.

However, speaking at an aviation conference in Qatar on Wednesday, Willie Walsh, director general of International Air Transport Association, said that the stringent Covid policies have resulted in Hong Kong losing its position as a global aviation hub.

A once-vibrant financial hub of Asia, pressure had been mounting on the Hong Kong government to fully reopen its international borders. 

On Thursday, Japan announced its decision to reopen to mass tourism from next month. Asian destinations will surely be competing with each other to bring back tourists into the country and help resurrect the economy.

It’s official — Japan has finally announced that it would allow visa-free entry to independent tourists, removing the daily cap on arrivals from October 11 onwards, after almost two-and-a-half years of stringent restrictions imposed during the pandemic.

Japanese Prime Minister Fumio Kishida made the announcement on Thursday in New York while attending the UN General Assembly.

Inbound arrivals would need to be vaccinated three times or would have to submit a pre-arrival negative result for a Covid-19 test, according to Kyodo News.

Before the pandemic, Japan allowed visa-free entry for short-term visitors from 68 countries, including the U.S.

To encourage domestic tourism, the Japanese government will also be bringing back the nationwide travel discount program that had been discontinued after the rise in Covid cases.

Dubbing the step an effort to support the tourism, entertainment and industries that have been the worst-affected during the pandemic, Kishida hoped news of the full reopening would encourage more people to be a part of the program.

While Japan had been easing restrictions in a phased manner even since it reopened to foreign tourists in June, the government still required tourists to apply for a short-term visa enter the country as part of approved package tours through a recognized travel agency.