An article by Andrew Baturin, CMO at Tumodo

Business travel across the GCC is entering a new growth cycle, just as companies are under renewed pressure to manage costs more tightly. Airline capacity across the Middle East is forecast to increase by 8.5% in December 2025 compared to December 2024, reflecting a rebound in corporate and regional travel demand. Growth is expected to be particularly strong in Saudi Arabia, where capacity is set to rise by 8.5%, and the UAE, with a projected 6.8% increase.

For organisations operating across the region, this resurgence brings familiar tensions. Travel is once again essential for growth, expansion, and relationship-building, yet its impact on cash flow is becoming harder to ignore.

What is changing is how companies respond. Rather than relying solely on restrictive policies or post-spend controls, many are turning to fintech partnerships and AI-driven predictive analytics to manage travel more strategically.

Treating travel as a financial decision, not just an operational one

As travel volumes increase, companies are reassessing corporate travel as more than an operational necessity. Rising fares, seasonal volatility, and unpredictable disruptions make traditional cost-cutting approaches less effective. In practice, blunt measures such as tightening approval workflows or enforcing rigid booking rules often reduce employee satisfaction without delivering sustainable savings.

In response, two approaches are gaining traction. The first focuses on when and how travel is paid for. The second reshapes how travel decisions are made in the first place.

Aligning travel spend with cash flow through fintech

One of the most significant shifts in corporate travel management is the growing use of fintech-enabled payment solutions, particularly Buy Now Pay Later (BNPL) models adapted for business travel. While BNPL has historically been associated with consumer transactions, it is increasingly being applied in corporate contexts across the GCC and beyond.

Travel costs often emerge well before the realisation of income for companies with cyclical revenues or delayed client payments. BNPL structures offer a way to smooth this mismatch. A flight costing $1,200, for example, can be repaid in installments over time, allowing companies to spread the expense rather than absorb it upfront. In scenarios where revenues are realised several months after booking, this flexibility can materially ease short-term cash flow pressure.

Importantly, this approach does not require companies to compromise on travel quality. Employees are not forced into inconvenient flight times or lower-quality options purely to minimise immediate spend. Instead, organisations can maintain travel standards while managing liquidity more effectively.

At a broader level, fintech–travel collaborations are also reshaping the corporate travel ecosystem. Payment providers gain deeper access to business clients, while travel platforms are able to offer more resilient and flexible payment options. Together, these partnerships move financial planning closer to the point of booking, rather than treating it as a back-office function.

Using AI to make travel predictive rather than reactive

While fintech tools address the financial mechanics of travel, AI predictive analytics are changing how organisations plan and control travel programmes.

One of AI’s most practical applications lies in identifying optimal booking windows for flights and hotels. By analysing large volumes of historical fare, demand, and occupancy data, advanced analytics can forecast price fluctuations across seasons with increased accuracy. This allows businesses to secure favourable rates in advance. In practice, companies using data-driven booking strategies have reported cost reductions of 10% to 15% while maintaining traveller satisfaction.

AI is also increasingly used to anticipate and mitigate disruptions. Predictive models can flag potential delays or cancellations before they occur, allowing organisations to reroute or rebook travellers early and avoid cascading costs, missed meetings, or last-minute purchases.

The result is a shift from reactive travel planning to a more predictive, well-timed approach, where cost control is achieved through better decisions rather than stricter rules.

Improving compliance without adding friction

Beyond pricing and timing, AI plays a growing role in managing travel-policy compliance. Traditionally, compliance was enforced through post-trip audits, which were labour-intensive and often came too late to influence behaviour.

Today, AI-driven tools can identify non-compliant choices during the booking process itself and guide employees toward approved options in real time. By offering personalised recommendations through intuitive interfaces, these systems reduce administrative burden while increasing adherence to company policies.

For employees, this makes booking simpler and more consistent. For organisations, it delivers stronger governance without creating friction or slowing down travel planning.

What the data ultimately points to

Industry research over recent years consistently shows that data-driven booking strategies generate double-digit savings on airfare and hotel expenses. These outcomes are typically driven by a combination of earlier bookings, fewer last-minute purchases, and higher compliance with corporate travel policies.

When financial flexibility is combined with predictive planning, organisations also gain greater visibility and predictability over travel spend. For finance teams, this translates into clearer budgeting and fewer unexpected spikes, particularly during peak travel periods.

Where GCC companies go from here

Fintech liquidity tools and AI analytics are not standalone solutions. Their impact comes from how they work together, enabling better decisions at every stage of the travel lifecycle, from payment timing and booking behaviour to policy enforcement.

In a region that places a premium on financial stability and institutional resilience, GCC companies are increasingly looking beyond short-term cost cutting. By integrating these technologies into a broader travel and finance strategy, organisations can support rising travel demand while maintaining discipline over costs in an increasingly complex operating environment.