In the presence of His Excellency the Minister of Transport and Logistic Services and Chairman of the General Authority of Civil Aviation (GACA), Eng. Saleh bin Nasser Al-Jasser, and His Excellency the President of GACA, Mr. Abdulaziz bin Abdullah Al-Duailej, GACA today granted the consortium led by Air Arabia, the Air Operator Certificate (AOC), to launch the Kingdom’s new national budget carrier based at King Fahd International Airport in Dammam. The issuance of the certificate follows the airline’s successful fulfilment of all regulatory and operational requirements in accordance with the executive regulations of the Civil Aviation Law, particularly those related to safety, security, and operational quality standards.

Captain Sulaiman bin Saleh Almuhaimedi, Executive Vice President of Aviation Safety and Environmental Sustainability at GACA, said that granting the AOC to the new carrier represents a significant step towards the Kingdom’s aviation strategy which aims to position Saudi Arabia as a global logistics hub and an international aviation hub.

He added: “The launch of Air Arabia’s operations from Dammam will contribute to enhancing competition and improving performance in the air transport market, while supporting trade and tourism in the Eastern Province and creating new local employment opportunities.”

He noted that the license was granted after the airline successfully completed all the required technical and regulatory stages and procedures to ensure the highest levels of safety and operational compliance. He further highlighted that this milestone reflects GACA’s role as the regulator of the air transport industry and its efforts to create an attractive investment environment.

He also noted that the new carrier will strengthen the Kingdom’s air connectivity by serving 24 domestic and 57 international destinations and is expected to carry approximately 10 million passengers annually by 2030, in line with the goals of the aviation programme.

GACA had previously announced, in July 2025, that the consortium, comprising Air Arabia Group, Nesma Group, and KUN Holding Company, had won the GACA competition to establish and operate a new national low-cost airline, as the best bid submitted, with majority Saudi ownership. The new carrier is expected to create more than 2,400 direct jobs, contribute to GDP, and support tourism growth and air connectivity in the Eastern Province, contributing to the achievement of the aviation programme.