Iran war pushes Middle Eastern airlines towards $4.3bn loss in 2026

As the US and Israel launched air strikes on Iran on 28 February 2026, Iran struck back near US military installations in the Gulf, including in Qatar and the UAE. Several international airports were hit by Iranian strikes, including Dubai, the world's busiest for international passengers, as well as Abu Dhabi, Kuwait and Bahrain. The UAE, Qatar, Bahrain and Kuwait closed their airspaces due to safety concerns, gradually reopening them a week later as hostilities lessened. The war has had long-lasting consequences for regional aviation: falling passenger and cargo demand, fewer private jet flights, and global repercussions from high jet fuel prices. The International Air Transport Association's (IATA) June outlook estimated that airlines operating from the Middle East will see a $7.2bn net profit in 2025 become a $4.3bn net loss in 2026. Read more: Iran war pushes Middle Eastern airlines towards $4.3bn loss in 2026