Saudi Arabia officially opens domestic aviation market to international charter flight operators
The decision, effective 1 May 2025, marks a major milestone in GACA's strategy to transform Saudi Arabia into a global aviation hub and drive growth of the private aviation and business jet sector.
Imtiyaz Manzary, General Manager for General Aviation at GACA, said: 'GACA is excited to welcome international operators to fly within Saudi Arabia. This policy change will build real opportunities for growth, create jobs, and make the Kingdom a more connected, accessible place for business and private travel. We believe this step will unlock huge potential for operators and passengers alike.'
This policy change is a key pillar of the General Aviation Roadmap, first announced in May 2024, which outlines a comprehensive plan to develop the private aviation sector into a $2 billion industry by 2030. In addition to regulatory reforms like lifting cabotage and removing empty-leg restrictions, the roadmap includes major infrastructure investments across the Kingdom.
Since the initial announcement of the cabotage removal in February, GACA has received several applications from international and regional operators expressing interest in entering the Saudi market. This early momentum reflects growing investor confidence in the Kingdom's aviation vision and the attractiveness of its evolving general aviation landscape.
The opening of the domestic charter market supports Saudi Arabia's broader Vision 2030 and Saudi Aviation Strategy objectives, positioning the Kingdom as a more open, competitive, and investor-friendly destination for aviation.
About the Saudi Aviation Strategy and General Authority for Civil Aviation (GACA):
The Saudi Aviation Strategy is transforming the entire Saudi aviation ecosystem to become the number one aviation sector in the Middle East by 2030, enabled by Vision 2030 and in line with the Kingdom's National Transport and Logistics Strategy. The Strategy is unlocking US$100 billion in private and government investment across the Kingdom's airports, airlines, and aviation support services. The Strategy will extend Saudi Arabia's connectivity across 29 airports, triple annual passenger traffic, establish two global long-haul connecting hubs, and increase air cargo capacity.
The Saudi Aviation Strategy is led by the Kingdom's aviation regulator, the General Authority for Civil Aviation (GACA). GACA's regulatory mission is to develop the air transport industry in accordance with the latest international standards, strengthen the position of the Kingdom as a globally influential player in civil aviation, and enforce the relevant rules, regulations, and procedures to ensure air transport safety and security, and sustainability.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Arabian Post
15 hours ago
- Arabian Post
Saudi Crown Charts Tourism Surge Ahead of 2034 Boom
Global tourism is projected to reach 30 billion trips by 2034 and contribute $16 trillion to world GDP, growing 1.5 times faster than the global economy, according to the World Economic Forum's latest report. Amid this surge, Saudi Arabia is emerging as a pivotal force, ranking the second fastest-growing tourism destination and leading global investments in innovation, infrastructure, and sustainability The WEF report, Travel and Tourism at a Turning Point: Principles for Transformative Growth, produced with Kearney and the Saudi Ministry of Tourism, highlights the Kingdom's rapid evolution. Under Vision 2030, it aims to attract 150 million visitors by 2030, underpinned by major mega-projects like NEOM, Soudah Peaks in Asir, Trojena, Al‑Ula, and the Red Sea Project. These initiatives reflect bold efforts to diversify beyond oil and position Saudi Arabia as a global tourism and cultural hub. Minister of Tourism Ahmed Al Khateeb emphasises that tourism goes beyond economic benefit; it fosters cultural diplomacy and long‑term resilience. He asserts that developing 'regenerative destinations, future‑ready infrastructure, and talent pipelines' is central to both national growth and shaping future global tourism. Saudi Arabia's investments via the Quality of Life Program—backed by a US$34.6 billion budget—underscore its commitment to improving recreation and entertainment infrastructure while supporting emerging tourism projects. ADVERTISEMENT Saudi mega-developments like NEOM's Sindalah island and the mountain resorts of Soudah Peaks and Trojena illustrate the Kingdom's integrated approach. Sindalah, an ultra‑luxury island destination opened in October 2024, with 85‑berth marina and high‑end amenities, aims to host 2,400 visitors daily by 2028. Soudah Peaks, a US$7.7 billion project nestled in the Asir Mountains, targets two million annual visitors by 2033 and aims to contribute US$7.8 billion to GDP. Trojena, designed as a year‑round mountain resort with skiing and adventure tourism, continues despite budget pressures, though a 2023 audit flagged soaring costs and alleged financial irregularities. Globally, Asia is highlighted as the fastest‑growing tourism region, with India and China expected to account for over 25% of outbound trips by 2030. Within this broader context, Saudi Arabia stands out for its strategic role in shaping global travel through luxury endeavours, sports tourism, ecotourism, and travel tech investment. Rapid industry expansion demands extensive infrastructure: an additional 7 million hotel rooms, 15 million flights annually, and substantial investments in transport and hospitality—areas where Saudi Arabia is heavily investing. Yet, the WEF report raises red flags: tourism already accounts for approximately 8% of global greenhouse gas emissions and that share could climb to 15% by 2034 if unchecked. Tourist‑derived waste is expected to reach 205 million tonnes annually—about 7% of global solid waste—and acute labour shortages plague countries worldwide, with UK turnover at 53% and US firms struggling with rising wages. WEF President Børge Brende warns of potential losses of up to $6 trillion by 2030 due to inadequate planning and lack of collaboration. He calls for transformative public‑private partnerships and sustainable fuel standards to underpin the sector's future. Kearney's Bob Willen echoes this, highlighting the need for investment in green infrastructure, workforce support, cultural preservation, and community benefit. Saudi Arabia appears poised to lead this shift. Its Vision 2030 agenda is channeling funds into infrastructure, entertainment, and training to support the projected 150 million annual visitors. Initiatives like cinemas, tourism visas, and Quality of Life enhancements are central to this strategy. By aligning mega-projects with sustainability and community inclusion objectives, Riyadh seeks to set an example of responsible tourism transformation.
Arabian Post
15 hours ago
- Arabian Post
Aramco Eyes Multi-Billion Dollar Asset Sale
Saudi energy giant Aramco is preparing to divest up to five gas-fired power plants as part of a broader strategic shift aimed at unlocking billions of dollars to bolster state revenues and maintain fiscal discipline amid softening global oil prices. The proposed sale, focused on gas-based plants supporting key refinery operations, is expected to yield approximately $4 billion, according to individuals familiar with the internal deliberations. These facilities play a critical role in Aramco's downstream network, supplying electricity and steam to refining complexes across the Kingdom. The move reflects a renewed push by the government to drive asset monetisation through its flagship energy enterprise, which remains the world's most valuable oil firm by profitability. This latest disposal initiative underscores efforts to diversify revenue streams, improve operational efficiency and maintain dividend flows to the state, despite tighter margins from subdued crude benchmarks. ADVERTISEMENT Saudi Arabia's sovereign reliance on Aramco remains substantial, with the state owning 81.5% of the company directly. Although the firm reported strong profitability metrics over the past few years, falling global oil prices have placed pressure on its balance sheet. In response, Aramco has announced plans to reduce its base dividend for the current year by nearly one-third. The payout trimming comes despite the company's earlier pledge to deliver sustainable shareholder returns through progressive dividend policy. The company's dividend obligations include a significant share payable to the government, in addition to royalties and taxes. These distributions remain a primary source of national income. Riyadh has been leaning on Aramco to continue funding major state-led economic programmes, including Vision 2030, which aims to transition the Kingdom's economy away from its overwhelming dependence on hydrocarbons. Selling power assets is part of a growing pattern of partial divestitures by Aramco, which has increasingly sought to monetise non-core infrastructure. Previous deals include the landmark $12.4 billion pipeline transaction with a global consortium led by EIG in 2021, followed by another multi-billion-dollar oil pipeline sale to a group including BlackRock and Hassana Investment Company. Both transactions highlighted investor appetite for high-yield energy assets linked to long-term supply contracts. The latest initiative follows that model, though it will likely target a different buyer segment, potentially including regional utility investors and global infrastructure funds. The plants earmarked for sale are considered stable cash generators due to their integration with Aramco's refinery operations and are expected to attract competitive bidding from international investors seeking predictable returns from energy infrastructure. The shift toward divesting energy-generating assets also aligns with broader energy market dynamics. Gas-fired plants in the Gulf region have been positioned as key transitional assets as the region adapts to climate targets while still ensuring reliable energy delivery to industrial operations. The plants in question are powered by domestically available natural gas, a relatively low-cost and lower-carbon option compared to crude-based combustion. Aramco's plans are advancing at a time when the company is carefully balancing capital expenditure with shareholder expectations and broader macroeconomic demands from the Saudi treasury. The pressure to maintain fiscal buffers amid fluctuating oil revenues has intensified scrutiny on state-owned entities to deliver higher financial returns and optimise asset portfolios. While final decisions on the number and timing of sales are yet to be made, internal planning is underway and advisory firms have been engaged to evaluate asset valuations and potential transaction structures. Analysts monitoring the Kingdom's privatisation efforts believe the deal could be structured as a sale-and-leaseback or include long-term offtake agreements that secure energy supply to Aramco's core refining assets while transferring ownership to private operators.
Web Release
2 days ago
- Web Release
TASC Slashes Tech Hiring Time in Saudi Arabia with Launch of Tech Vertical AIQU
Saudi Arabia's Vision 2030 is driving a significant surge in demand for technology talent, especially in AI and machine learning. However, many companies face challenges such as lengthy hiring processes, high costs, and limited flexibility, which cause delays that put critical digital projects at risk. Overcoming these obstacles is essential to sustaining the Kingdom's fast-moving digital transformation. AIQU, powered by workforce solutions provider TASC, builds on its established presence in Saudi Arabia by introducing innovative solutions like Deploy-on-Demand, which is designed to cut tech hiring timelines by up to 50%. With a proven track record in Tech Talent, Statement of Work, Digital, and Managed Services, AIQU continues to evolve to meet the Kingdom's growing demand for agile workforce solutions. They enable clients to rapidly fill specialized roles while handling iqama, payroll, compliance, and onboarding, providing pre-verified talent ready to deploy within 2 to 6 weeks, compared to the market average of 3 to 6 months. This innovative solution is already supporting public sector digital programs, banking and fintech transformations, global consultancies, and rapidly scaling SAP and ERP projects across the Kingdom. Tackling the Tech Talent Shortage Industries such as cloud computing, AI, and cybersecurity are expanding faster than available talent can keep pace, creating an urgent tech crunch in Saudi Arabia. Roles like cloud architects, SAP consultants, and data engineers are in high demand, but local expertise remains limited. For specialized skills such as OT/ICS security or data governance, the talent gap is even more pronounced. AP consulting roles, for example, have a local talent shortfall of up to 40%. Traditional hiring methods are often too slow and rigid to meet these evolving needs. 'Many businesses simply cannot afford the three to six-month hiring cycles associated with conventional recruitment or global system integrators,' says Tim Harlow, Head of AIQU. 'Critical transformation projects cannot wait, yet the complexity of the Saudi recruitment market makes speed challenging. Vision 2030's momentum has created an enormous opportunity for organizations able to close their talent gaps quickly.' System integrators add further cost and complexity with approval processes and onboarding delays, making these models less sustainable. 'Cost, speed, and flexibility are the three pillars every client struggles with. Existing models are too rigid for today's dynamic projects,' Taha Esmail, VP – AIQU added. Deploy-on-Demand: A Faster, Flexible, and Cost-Effective Solution AIQU's Deploy-on-Demand model is built to overcome these challenges by offering pre-verified, project-ready tech talent mobilized up to 70% faster than traditional hiring models. Clients submit role requirements tied to project deliverables, and AIQU matches candidates from a continuously refreshed bench of regional and international professionals. The service also manages full onboarding, including iqama, payroll, compliance, and Saudization requirements, ensuring faster time-to-productivity and regulatory alignment. Beyond speed, AIQU's approach delivers significant cost savings, typically 30% to 50% compared to traditional system integrators, by cutting multilayered consulting overheads and providing transparent pricing. 'Clients want agility. We enable them to scale teams up or down based on project phases without the cost and complexity of long-term headcount commitments,' said Pinky Mistry, VP – AIQU. With multiple Vision 2030 initiatives moving into execution phases, demand for specialized tech expertise will only intensify. To meet this need, AIQU is expanding its pipeline of Arabic-speaking professionals, partnering with local training academies, building offshore development centers and growing its presence across the Kingdom. 'Vision 2030's momentum has created a massive opportunity for those who can close talent gaps fast. Our focus is on giving clients the agility they need to keep pace with this transformation,' concludes Tim.
