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Air Arabia Alliance to launch new low-cost airline from Dammam

(Supplied)
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 travellers.

The 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 2030.

Air 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 sector.


According 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.

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