Strategic context and market environment
Over the last few years, our growth has been driven by our international and domestic Express business, representing approximately 70% of group revenues, while the Logistics and Freight business contributed approximately 30% to group revenues. The International Express product benefitted from e-commerce volumes from the USA, UK and Asia, into the Middle East and Africa, while growth in the Domestic Express product came from our home markets in the region, also driven by the boom in e-commerce. While we expect a continued positive macro-outlook in this part of our business, Aramex is currently at an inflection point in its growth journey.
2022 came with a set of global challenges and changes for our industry and the global business landscape at large. Aramex had to navigate a dynamic macro-economic environment, raising inflation and interest rates, as well as currency devaluation in certain markets. Our resilient performance in 2022 was supported by strong economic activity in our home markets in the Middle East – which also contributed to good demand in our outbound markets in the USA and UK - bolstered by improving consumer sentiment and an increase in business activity, noting that GDP projections for our home markets remain attractive going forward.