Wizz Air announced that it will cease all operations under its Wizz Air Abu Dhabi joint venture starting September 1, 2025, as it grapples with persistent engine challenges, geopolitical unrest, and regulatory barriers that have hampered its growth in the region.
The budget airline, headquartered in Hungary, said the decision was made following a “comprehensive reassessment of market dynamics, operational challenges, and geopolitical developments in the Middle East.” These include continued engine issues in hot climates, frequent airspace restrictions, and slowing passenger demand—factors that have made it increasingly difficult to maintain its ultra-low-cost model.
“This was a difficult decision,” Wizz Air CEO József Váradi said in a statement, “but it is the right one given the circumstances.” He emphasized the airline’s ongoing commitment to serving markets with clear long-term profitability and scalability.
Launched in November 2020 in partnership with Abu Dhabi’s sovereign wealth fund ADQ, Wizz Air Abu Dhabi was a bold foray into the Middle Eastern market. The joint venture—51% owned by ADQ and 49% by Wizz Air Holdings—began with two Airbus A321neo aircraft and ambitious plans to grow its fleet to 100 aircraft over 15 years, serving destinations across the Middle East, Africa, and South Asia.
In just a few years, the airline expanded rapidly, increasing its workforce from 400 in 2023 to over 700 aviation professionals in 2024. But this growth has been repeatedly stalled by operational issues—particularly those linked to its Pratt & Whitney engines. These powerplants have struggled in the region’s intense heat, causing significant maintenance delays and the grounding of aircraft, which severely affected the carrier’s flight reliability.
The broader Middle East geopolitical climate also played a major role. Earlier this year, Wizz Air briefly halted its UAE operations due to airspace closures triggered by Iran’s missile strikes on a U.S. base in Qatar. The resulting flight suspensions across Qatar, Bahrain, and Kuwait disrupted numerous regional carriers and forced Wizz Air to delay resuming flights until well into the summer.
As Wizz Air shifts focus back to its European strongholds—including Central, Eastern, and select Western European countries like Austria, Italy, and the UK—it acknowledged that operating costs are expected to rise in the next fiscal year. This is due to the grounding of aircraft, retirement of older jets, and delays in anticipated cost savings from airport-related efficiencies.
Despite these setbacks, Váradi stressed that the airline remains focused on “initiatives that enhance Wizz Air’s customer proposition and build shareholder value.”