Saudi Arabia Awards New Airline License to Air Arabia Led Group

20th Jul 2025

Dammam, Saudi Arabia – Air Arabia, the United Arab Emirates headquartered low-cost carrier group, has been selected as the lead operator in a consortium awarded the bid to launch Saudi Arabia’s newest low-cost airline, based at King Fahd International Airport in Dammam. The strategic development is part of the Kingdom’s Vision 2030 plan to diversify its economy, enhance regional connectivity, and build a globally competitive aviation sector.

  • The new airline is a joint venture between Air Arabia, Egypt’s Nesma, and Jeddah-based Kun Investments Holding

  • The carrier is set to operate a fleet of 45 aircraft by 2030.

  • It will serve 24 domestic and 57 international destinations, with an annual target of 10 million passengers by 2030.

  • The new airline will create over 2,400 direct jobs, supporting economic growth in Saudi Arabia’s Eastern Region.

  • The venture marks Air Arabia’s fifth airline partnership, expanding its low-cost carrier model already operational in Morocco, Egypt, Armenia, and Pakistan.

Statements

  • “The new airline will enhance competition in the air transport market … and expand air connectivity with countries worldwide, thereby supporting economic growth.” – Saleh Al Jasser, Saudi Minister of Transport and Logistics Services

  • “This airline will contribute to enhancing connectivity for the Eastern Region, increasing seat capacity and providing competitive travel options for passengers.” – Abdulaziz Al Duailej, President of GACA

Source: GACA

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