Saudi Arabia Unveils Plans for Two Additional Airlines, Says Tourism CEO
Saudi Arabia is on track to launch two additional airlines, enhancing its existing fleet, which includes Saudia, Riyadh Air, flynas, and flyadeal.
As part of its Vision 2030 initiative, the Saudi government is rolling out various programs aimed at boosting the economy and promoting itself as a welcoming tourist destination.
The aviation sector is critical to Saudi Arabia’s strategy to diversify its economy and reduce dependence on oil. Among key developments is the anticipated launch of Riyadh Air’s commercial services later this year.
During the recent Cityscape Global real estate conference, Fahd Hamidaddin, CEO of the Saudi Tourism Authority, unveiled these plans. He mentioned, “A successful national airline builds a destination, and they are yet to start. There is Riyadh Air, Saudia, and three more air carriers to be announced.”
One of the new airlines is expected to be a low-cost carrier based at King Fahd International Airport (DMM) in Dammam, a plan that had been previously announced.
In July 2025, the General Authority of Civil Aviation (GACA) announced that a consortium led by UAE-based Air Arabia, along with Kun Investment Holding and Nesma Holding, was selected to establish this low-cost airline.
The airline aims to operate a fleet of 45 aircraft by 2030, serving 24 domestic destinations and 57 international airports. “We are proud to have been selected by GACA to launch a new national low-cost airline headquartered in Dammam. This milestone reflects our commitment to bolstering the growth of the Kingdom’s aviation sector,” stated Adel Al Ali, Group CEO of Air Arabia.
Reports further indicate that the second new airline may focus on religious tourism, though additional details about the third airline have yet to emerge.
At the recent Dubai Airshow, Riyadh Air also confirmed an order for 120 CFM International LEAP-1A engines, which will power 60 Airbus A321neo family aircraft ordered in 2024.
What are your thoughts on these developments in Saudi Arabia’s aviation sector?
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