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[BUSINESS] · Saudi Arabia, United Arab Emirates · 2 sources

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Air Arabia-led consortium launches new budget airline in Saudi Arabia

A new Saudi Arabian national budget carrier, led by an Air Arabia consortium, has commenced operations at King Fahd International Airport in Dammam. The airline officially launched its first flight from Dammam to Riyadh on September 20.

The carrier, which uses Dammam as its operating base in the Eastern Province, currently provides two daily flights to both Riyadh and Jeddah, as well as one daily service to Medinah. The airline operates a single-class cabin using Airbus A320 aircraft with 174 seats, following a low-cost business model.

The consortium responsible for the airline includes Air Arabia Group, Nesma Group, and Kun Holding. The General Authority of Civil Aviation (GACA) selected the group in July 2025 following a competitive process to establish a new carrier in the region. The airline began flying after receiving its Air Operator Certificate from GACA following the completion of technical and regulatory requirements.

Entities

Air Arabia · General Authority of Civil Aviation · King Fahd International Airport · Kun Holding · Nesma Group