Air Arabia to Establish National Saudi Low-Cost Carrier

‍DALLAS — Air Arabia (G9) has won a bid to launch a new national low-cost carrier in Saudi Arabia.

The Kingdom of Saudi Arabia’s General Authority of Civil Aviation’s (GACA) has awarded a consortium comprising Air Arabia, Nesma Group, and KUN Holding the right to establish and operate a new national low-cost airline. The airline will be based at Dammam’s King Fahd International Airport (DMM). 

The operation will enhance domestic and international air connectivity for the Kingdom’s Eastern Province. The LCC plans to operate 24 domestic and 57 international destinations with 45 aircraft by 2030, aiming to serve around 10 million passengers annually from DMM and the Eastern Province.

“We are proud to have been selected by the General Authority of Civil Aviation (GACA) to launch a new national low-cost airline headquartered in Dammam. We extend our sincere gratitude to the Authority for its trust in us.” Adel Al Ali, Group Chief Executive Officer of Air Arabia, said.

The decision marks the culmination of a shared vision and strategic partnership among the three parties, focused on delivering an efficient operating model that supports the objectives of the aviation program goals, improves service quality for travelers, and contributes to driving national economic growth.

Spurring Economic Growth

The launch of the LCC from DMM is not just an air transport project, but also has a direct contribution to strengthening the tourism infrastructure and stimulating the local economy of the Eastern Province. 

This initiative aligns with continued developments in the Kingdom’s tourism and aviation sectors. It will create high-quality jobs, empower national talent, and support aviation-related commercial activities.

“As a leading low-cost airline operator in the region, this achievement represents a key milestone that reaffirms our commitment to supporting the growth and development of the Kingdom’s aviation sector. Through our proven economic model and regional expertise, this new partnership will deliver a reliable and value-driven travel experience for passengers. It will contribute to economic growth and job creation in the Eastern Province and beyond.” Faisal Bin Saleh Al-Turki, President of Nesma Group, said.

The country will also see the launch of its second national carrier, Riyadh Air (RX). The full-service airline will operate from King Khalid International Airport in Riyadh (RUH), offering both domestic and international services.