Saudi Arabia Approves Major New Airline Based in Dammam

Another new airline is coming to Saudi, but this time it's a low-cost option. Based out of the eastern city of Dammam and led by Air Arabia, it will enter an increasingly crowded market.

A new low-cost airline is coming to Saudi Arabia. The country's General Authority of Civil Aviation (GACA) has awarded an operating license to a consortium led by Air Arabia, Nesma Group, and KUN Holding. The group, described as "the Air Arabia Alliance" won the rights following a government-run competition.

The joint venture, announced in a series of posts on GACA's X account, will operate a low-cost carrier based at King Fahd International Airport in Dammam. The project is aimed at boosting domestic and international connectivity from the country’s Eastern Province.

The airline is targeting 24 domestic and 57 international routes by the end of the decade. Its goal is to serve 10 million passengers annually by 2030, using a fleet of 45 aircraft. Precise launch dates and routes were not announced.

Saudi Transport Minister Saleh bin Nasser Al-Jasser said the carrier will help drive competition and improve consumer choice. More than 2,400 "direct jobs in the aviation sector" are also expected.