Economy, Auto
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Mideast Car Rentals to Grow

Mideast Car Rentals to GrowMideast Car Rentals to Grow

The car rental market in the Middle East, especially in Oman, Qatar, Bahrain and Kuwait, will continue to grow at a considerable rate in the coming years.

The market for car rental has been driven by the rise in demand for local players, although it has been dominated by players such as Hertz Corporation, Sixt, Avis Corporation and Europcar.

Local players dominating the Middle East car rental industry are Regency, Strong car rental, Auto rent, Market Rent-A-Car, Al-Mulla, Al Sayer and others.

Improving economic conditions, growing expatriate population and rising tourism and investment in travel infrastructure have led to a growth in Middle East car rental industry.

During 2010-15, the car rental industry in Middle East has posted an average annual growth rate of 2.8% in revenues.

According to the research report, revenues for the car rental market are expected to increase at a Compound Annual Growth Rate of around 7% during 2016-20, with revenues expected to hit $1.7 billion by 2020.

The fleet size of car rental market in the region is expected to reach 400,000 by 2020.

 

Financialtribune.com