In the aviation business world, many view airlines simply as revenue and profit generators from ticket sales. However, for the United Arab Emirates (UAE), especially its capital city, Abu Dhabi the establishment of a "national airline" is a critical financial bridge fueling the tourism industry—an essential piece in the national strategic plan aiming to transform a desert land into a global hub.
Thairath Money had the opportunity to join a trip to Abu Dhabi with Etihad Airways, the UAE's second national airline, which recently partnered with Thailand's tourism sector to open new direct flight routes from major Thai cities Chiang Mai and Krabi to Abu Dhabi. This is part of a broader ASEAN market expansion strategy aiming to connect the UAE with new global markets.
At first glance, Etihad Airways might seem like just another Middle Eastern airline, but in reality, it is a "strategic national tool" that the UAE uses to drive the country through a critical transition—from an oil-dependent economy to a global destination that attracts tourists, investors, and businesses worldwide. Etihad's story is more than a typical airline business; it is a lesson in building a new national economic structure through the "tourism industry."
This is from the BrandStory column. This piece highlights insights from the trip, focusing on Etihad Airways as a nation-building airline that has turned Abu Dhabi into a global metropolis, illustrating the leadership’s vision and the One Big Ecosystem tourism model that Thailand can learn from to elevate its own tourism sector.
Etihad Airways was established in 2003 by royal decree from Sheikh Khalifa bin Zayed Al Nahyan, at a time when UAE leadership recognized clearly that "oil" was not a sustainable long-term future for the country.
Sheikh Khalifa bin Zayed was one of the UAE’s presidents and the ruler of Abu Dhabi who played a key role in transitioning the country into an economic and cultural hub by laying the foundation for a modern economy based on diversified revenue sources.
The government announced the Abu Dhabi Economic Vision 2030, aiming to build a new economy less dependent on oil (Non-oil GDP), with the core focus being "tourism and aviation." At that time, Sheikh Khalifa bin Zayed, then Crown Prince of Abu Dhabi, saw the need for Abu Dhabi to have its own airline—not merely to compete with neighbors but to control global connectivity and generate new revenues from tourism, trade, and international services. He then decreed the establishment of the national airline named Etihad Airways in 2003.
The word “Etihad” in Arabic means “unity” or, in Thai, "combination" or "oneness," reflecting the country's intent to grow together across the seven Emirates and to use the airline as a national symbol on the global stage, leveraging its geographic position at the world's midpoint to propel Abu Dhabi as a "global aviation hub" connecting Asia, Europe, and Africa.
Etihad Airways gradually built its foundation as a regional airline and quickly expanded its fleet, placing large orders for wide-body aircraft to support its services. For example, its major 2004 order valued at $8 billion included over 30 planes such as Boeing 777-300ER and Airbus A380. One historic deal was made at the 2008 Farnborough Airshow worth $43 billion—the largest aircraft order globally at that time—surpassing Emirates’ $34 billion order in 2003. This included confirmed orders for 100 aircraft, 55 options, and 50 purchase rights, forming the backbone of the current fleet.
Although a relatively young airline, Etihad Airways quickly grew to be one of the Middle East’s leading carriers. Today, the UAE's national airline operates over 100 aircraft serving more than 120 global destinations, with Abu Dhabi serving as a major hub linking East and West seamlessly.
Etihad Airways is therefore an airline born from a "policy vision" and positioned as critical economic infrastructure, comparable to ports or energy systems supporting the tourism industry. Under economic diversification policies, it carries the Abu Dhabi and UAE brand to global markets through travel and a route network symbolizing Emirati excellence in premium service, technology, and global standards.
Rapid route expansion in the first decade transformed Abu Dhabi into a direct global connection point rather than a mere transit stop. Tourists no longer need multiple layovers, business travelers can fly direct, and the country can steer its tourism market direction independently.
Moreover, a key success factor for the UAE is viewing tourism as a “full value chain economic system.” Simply put, the UAE government executes a comprehensive strategy, designating aviation and tourism as pillars of sustainable economic development under the frameworks of Abu Dhabi Vision 2030 and UAE Tourism Strategy 2031. The main goals include:
The UAE government has enhanced comprehensive tourism support policies, investing heavily in world-class tourism infrastructure and creating unique global destinations including premium resorts, beaches, museums, historic sites, and year-round international event venues on islands.
For example, Yas Island is developed as an entertainment hub featuring a large theme park, the world's largest water park, an F1 race track, and the seventh Disneyland, poised to be the most advanced Disney park. Another island, Saadiyat Island, is being developed as a cultural district focusing on historical and cultural tourism, currently constructing five major museums, including the Louvre Abu Dhabi.
Additionally, the government has developed flexible visa systems such as Golden Visas and Transit Visas to accommodate long-term tourists and investors, collaborating with airlines to attract visitors through tourism campaigns and global partnerships with international tourism organizations.
Etihad Airways works closely with the Department of Culture and Tourism Abu Dhabi (DCT Abu Dhabi) to drive these goals through marketing collaborations, international events, and presenting a modern image to promote Abu Dhabi as a premium global tourism destination.
A key strategy is using "flight routes" as a strategic tool, especially opening direct flights to promising tourist cities beyond capitals or major cities. Thailand exemplifies this approach in Abu Dhabi’s market expansion.
The opening of Krabi-Abu Dhabi and Chiang Mai-Abu Dhabi routes, in addition to Bangkok and Phuket, resulted from cooperation between Etihad Airways and the Tourism Authority of Thailand (TAT). This aims to boost the cyclical flow of international tourists, allowing Thailand to elevate secondary cities to access high-value markets like the Middle East and Europe, creating vast opportunities for tourism, services, and business exchanges alike.
Etihad Airways’ growth, aligned with national growth strategies, underscores a vital lesson: countries controlling their global connectivity can shape their own futures. Thus, tourism must be a national policy, not just a short-term campaign, and airlines are economic development tools that channel substantial funds into the country.
The UAE spent over 20 years transforming from an oil-based economy into a global destination through strategic investments in aviation and tourism. Airlines, airports, tourist cities, and government agencies operate within a unified framework, making tourism not a single industry but a "new economic system" for the country.
Today, Etihad Airways stands as a global brand symbolizing UAE’s success, demonstrating that an airline is a key driver of economic growth, connecting people, and building national identity on the world stage.
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