Wizz Air is to suspend its operations in Abu Dhabi as part of a “strategic realignment”, which will see it refocus on key markets in Europe.
The Hungary-based budget carrier said that its locally based flights at Abu Dhabi would be suspended from 1 September. The decision comes after a “comprehensive reassessment of market dynamics, operational challenges, and geopolitical developments in the Middle East”.
Wizz Air said it would now focus on its services in the central and eastern Europe region, as well as “select” western European markets including Austria, Italy and the UK.
“This strategic realignment to core markets will enable the company to redeploy resources to regions with greater long-term potential for sustainable growth and profitability,” said the company in a statement to investors.
Wizz Air, which set up a subsidiary in Abu Dhabi in 2020, blamed engine reliability “constraints” and repeated airspace closures due to “geopolitical volatility” for the decision to suspend operations in the Middle East. Regulatory “barriers” in the region had also proved a problem for the airline.
József Váradi, CEO of Wizz Air, added: "We have had a tremendous journey in the Middle East and are proud of what we have built. However, the operating environment has changed significantly.
“Supply chain constraints, geopolitical instability and limited market access have made it increasingly difficult to sustain our original ambitions. While this was a difficult decision, it is the right one given the circumstances.
“We continue to focus on our core markets and on initiatives that enhance Wizz Air's customer proposition and build shareholder value."
Wizz Air operates a fleet of 237 Airbus A320 and A321 aircraft and carried 63.4 million passengers in its last financial year. Earlier this year, the airline announced a £12 billion “transformation” plan focused on customer service.