Latest news with #KunInvestmentHolding
UAE Moments
7 hours ago
- Business
- UAE Moments
Air Arabia to Launch New Low-Cost Airline in Saudi Arabia
Heads up, travelers—Saudi Arabia just gave the green light to a brand-new low-cost airline, and it's going to be based right at King Fahd International Airport in Dammam. The big names behind this? Air Arabia, Kun Investment Holding, and Nesma, who've teamed up to launch this fresh national carrier. What's the Plan? The new airline isn't just here for a soft landing. It's aiming big— 57 international and 24 domestic destinations by 2030. Think more affordable flights, fewer layovers, and easier getaways from the Eastern Region. And yes, it's low-cost. So expect competitive fares that don't wreck your wallet. 10 Million Passengers a Year? Yup, that's the target. With a planned fleet of 45 aircraft, the airline hopes to carry 10 million passengers every year. That's a whole lot of weekend trips and vacation goals. More Than Just Travel It's not just about flying— over 2,400 jobs are expected to be created. The Saudi Minister of Transport and Logistic Services, Saleh Al-Jasser, is hyped about it, saying this new airline will ramp up competition and give travelers more options. Basically, it's a win for everyone.
Al Etihad
a day ago
- Business
- Al Etihad
Air Arabia Alliance to launch new low-cost airline from Dammam
20 July 2025 18:15 ABU DHABI (ALETIHAD)Saudi Arabia has announced the launch of a new national low-cost airline based at King Fahd International Airport in Dammam, aimed at enhancing air connectivity in the Eastern Province and offering more competitive pricing options for General Authority of Civil Aviation (GACA) said in a statement posted on X that a consortium comprising Air Arabia, Kun Investment Holding, and Nesma has won the bid to establish and operate the new carrier. The initiative is part of the Kingdom's broader efforts to position its civil aviation sector as the leading one in the Middle East by Arabia, a leading low-cost airline based in the UAE, brings operational experience in affordable air travel across the region. Kun Investment Holding is a Saudi investment firm focused on developing strategic national projects, while Nesma is a diversified Saudi conglomerate with existing experience in the aviation to GACA, the new airline will operate both domestic and international flights to and from Dammam, with an ambitious plan to serve 24 domestic and 57 international destinations by 2030. The airline is expected to transport up to 10 million passengers annually, create more than 2,400 direct jobs, and maintain a fleet of 45 aircraft. The project aligns with the Kingdom's aviation sector goals, which include enhancing air connectivity for the Eastern Region, fostering a competitive environment with more travel options, and improving the overall quality of passenger services.
Time of India
a day ago
- Business
- Time of India
UAE: Air Arabia wins bid to launch Saudi low-cost airline in Dammam, boosting Vision 2030 goals
Air Arabia-led alliance to launch new low-cost Saudi airline from Dammam under Vision 2030/ Representative Image TL;DR Air Arabia , based in the UAE, will lead a new Saudi low-cost airline. The airline will be based in Dammam and fly to 81 destinations. It's part of Saudi Arabia's wider aviation push under Vision 2030. On July 20, 2025, Saudi Arabia's General Authority of Civil Aviation (GACA) announced that an alliance led by Air Arabia, along with Saudi firms Kun Investment Holding and Nesma Group, has secured the license to operate a new national low-cost airline based at King Fahd International Airport in Dammam. This new airline will launch with a fleet of 45 aircraft, connecting 24 cities across Saudi Arabia and flying to 57 international destinations. By 2030, the carrier aims to serve around 10 million passengers each year and create over 2,400 new jobs. According to Saudi officials, the airline will help boost competition, increase seat capacity, and offer more affordable travel options to the public, especially in the country's Eastern Region. About Air Arabia and Its Role in Saudi Arabia Air Arabia is a low-cost airline based in Sharjah, UAE. Launched in 2003, it was the first budget carrier in the Middle East. Today, it operates a fleet of about 60 Airbus A320s and flies to over 170 destinations across 30+ countries, including cities in the Middle East, North Africa, Asia, and Europe. The airline is known for offering affordable fares and simple, no-frills service. Until now, Air Arabia's presence in Saudi Arabia was limited to international flights, connecting cities like Riyadh, Jeddah, and Dammam to its wider network. Dammam, for example, was just a destination. That's changing. With the launch of the new Saudi low-cost airline, Dammam becomes the airline's home base in the Kingdom. This is the first time Air Arabia is co-operating a Saudi-licensed carrier, and it turns Dammam into a full-fledged hub, not just a stop on a route. For travelers in the Eastern Province, it means more direct flights, better access, and lower fares. A Closer Look at the Alliance The license was awarded to a three-member consortium: Air Arabia (UAE): One of the region's top low-cost carriers, with extensive experience in budget operations and regional connectivity. Kun Investment Holding (Saudi): A Saudi firm bringing capital and strategic local partnerships. Nesma Group (Saudi): A diversified Saudi business with experience in aviation and infrastructure through its former airline operations. Unlike foreign players operating independently in Saudi skies, this is a Saudi-licensed airline backed by a regional partnership, blending international experience with local roots. Why Dammam? A Strategic Shift Dammam hasn't traditionally been the center of Saudi aviation. Most growth has centered on Riyadh and Jeddah. This move signals a change. By basing the new airline in Dammam, the alliance is tapping into a region that's economically vital but often underserved by direct air links. The plan includes: Improving connectivity for Eastern Province residents Expanding domestic and regional options Supporting tourism and business travel in and out of Dammam This also helps reduce pressure on larger airports and supports Saudi Arabia's goal of creating multiple air travel hubs, not just one or two dominant centers. Key Details: Fleet size: 45 aircraft Network: 24 domestic and 57 international destinations Passenger goal: ~10 million annually by 2030 Jobs created: Over 2,400 Main focus: Improve connectivity in the Eastern Region, expand seat capacity, and offer more affordable fares How This Fits into Vision 2030 Saudi Arabia is betting big on aviation as part of Vision 2030, its long-term strategy to diversify the economy beyond oil. The country aims to: Attract $100 billion in aviation investment Serve over 330 million passengers annually Connect to 250+ global destinations Boost the contribution of aviation to GDP Liberalize airport and airline operations to allow new entrants This new airline aligns with that effort. It's not meant to compete with flagship brands like Riyadh Air, which focuses on premium long-haul routes. Instead, it adds depth, filling a gap in affordable, short- and mid-range travel and extending access to more travelers. What This Means: Positive Outcomes More Travel Options: Travelers get more destinations, especially from Dammam Lower Fares: A low-cost model means increased competition and more pricing flexibility Job Growth: More than 2,400 direct jobs expected Network Expansion: 81 destinations, including key domestic and regional cities Regional Boost: Supports development in the Eastern Province Officials from Saudi Arabia's Ministry of Transport and Logistic Services have indicated that the new airline is expected to increase market competition and offer travelers more choices, supporting the country's broader aviation strategy. FAQs Q1. Who will run the new airline in Saudi Arabia? The airline will be operated by an alliance led by UAE's Air Arabia, with Saudi-based Kun Investment Holding and Nesma Group as partners. The license was granted by GACA. Q2. Why was Dammam chosen as the base? Dammam offers untapped potential. It's a growing economic region with room to expand air traffic. Placing the airline there supports regional development and eases pressure on Riyadh and Jeddah. Q3. How will this airline be different from others like Flyadeal or Riyadh Air? Flyadeal focuses on domestic routes under Saudia. Riyadh Air targets long-haul premium travel. This new airline offers low-cost, regional connectivity, especially from Eastern Saudi Arabia.
Al Arabiya
a day ago
- Business
- Al Arabiya
New low-cost Saudi airline to operate from Dammam
The Saudi General Authority of Civil Aviation announced on Sunday that an alliance consisting of Air Arabia, Kun Investment Holding and Nesma won a bid to operate a new low-cost Saudi national airline operating from the King Fahd International Airport in Dammam. The authority said in a post on X that the new airline aims to enhance 'air connectivity for the Eastern Region, increase seat capacity, and to provide competitive travel options for passengers.' The new airlines will also operate domestic and international flights with the capacity of 57 international destinations and 24 local destinations. It also aims to carry around 10 million passengers annually. Developing
