UAE’s Air Arabia chosen to operate new Saudi low-cost airline

New airline will operate from King Fahd international airport in Dammam.

Dammam: The UAE’s budget carrier Air Arabia has secured the bid to operate a new Saudi national low-cost airline, the Kingdom’s General Authority of Civil Aviation (GACA) announced on Sunday, July 20.

Partnering with Egypt’s Nesma and Jeddah-based Kun Investment Holding, the group will base the new airline at King Fahd International Airport in Dammam. The carrier will serve routes across the country and abroad, supporting the Kingdom’s efforts to expand its aviation network.

This development aims to improve air access in the Eastern Province, increase available seating capacity, and offer cost-effective choices to passengers. It also aligns with Saudi Arabia’s broader economic transformation goals under Vision 2030.

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Key targets for the new airline include:

  • Operate a fleet of 45 aircraft
  • Create over 2,400 direct jobs
  • Serve more than 80 destinations, including 24 local and 57 international routes
  • Transport around 10 million passengers annually

The initiative is part of the National Transport and Logistics Strategy, which seeks to enhance the country’s global role in mobility and trade. GACA affirmed its objective to establish the Kingdom as the region’s leading aviation hub by the end of the decade.

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