March 22, 2007: Passenger traffic growth is what Etihad is seriously betting on these days. The Abu Dhabi-based Etihad Airways has said that it expects revenue to rise more than 60 per cent this year and the credit goes to growth in passenger traffic owing to its fleet expansion. The airline hopes to own 33 aircraft and fly to 45 destinations this year. Expectations are that it would carry more than 4.5 million passengers.

Etihad sees itself garnering revenue to the tune of $ 1.25 billion this year, said a report. With a fleet of 25 aircraft flying to as many as 38 destinations, Etihad is sure that it can turn the expectations into real numbers. Etihad will borrow at least $ 1.2 billion this year from banks and the Abu Dhabi government, which controls more than 90 per cent of the oil reserves of the UAE federation, in a bid to finance aircraft buys, the report added. It will take delivery of four new A330-200s and two A340-600s in the next six-month period.

The airline has received new traffic rights to India, expanding access to Mumbai, New Delhi, Thiruvananthapura and Kochi. It will start flights to Jeddah and Medina in Saudi Arabia, the report said.

Meanwhile, Etihad has severe competition from the Dubai-based Emirates and Qatar Airways. These airline companies are rapidly expanding fleets to meet surging demand in the Middle East, a report said.

The Middle East has turned hot with regard to air travel and the demand for air passenger services has zoomed 18.1per cent in terms of passenger-kilometres last year. This is being seen as the fastest growth in any region in the world.