Air Arabia-led consortium gets green light for new Saudi budget airline in Dammam

Air Arabia-led consortium has been granted regulatory approval to establish a new budget airline in Saudi Arabia, with King Fahd International Airport in Dammam serving as its base, Sharjah-based news outlet reported on Monday. The General Authority of Civil Aviation (GACA) awarded the consortium an Air Operator Certificate (AOC) on Monday, September 14, following successful safety, security, and operational assessments.

The new airline is projected to serve 24 domestic and 57 international destinations, forming a network of 81 destinations. The airline is expected to handle around 10 million passengers annually by 2030. This move aligns with Saudi Arabia's broader aviation strategy to boost air connectivity and fortify the Kingdom's status as a global logistics and aviation hub.

GACA's executive vice-president of aviation safety and environmental sustainability, Captain Sulaiman bin Saleh Almuhaimedi, emphasized that the launch from Dammam would enhance competition and performance in the air transport market, supporting trade and tourism in the Eastern Province while generating local employment opportunities.

The airline's strategic location in Dammam is particularly advantageous for UAE travelers within the broader Gulf aviation market. The consortium behind the new carrier comprises Air Arabia Group, Nesma Group, and KUN Holding Company, with the project expected to create over 2,400 direct jobs and contribute to GDP, tourism, and connectivity in the Eastern Province.