UAE carrier Air Arabia is part of an alliance that won the rights to operate a new low-cost airline in Saudi Arabia to boost air connectivity in the kingdom.
The new consortium will operate the airline from the King Fahd International Airport in Dammam and provide competitive travel options for passengers, the Saudi General Authority of Civil Aviation (GACA) said in a social media post on X on Sunday.
Egypt's Nesma and Jeddah-based Kun Investments Holding are part of the consortium that won the bid, according to the post.
The airline is expected to enhance air connectivity in the eastern region.
By 2030, the new Air Arabia alliance will operate 45 aircraft and will serve 24 domestic and 57 international destinations, the social media post said.
It will also transport up to 10 million passengers annually and create 2,400 direct jobs by 2030.
“The establishment of a new low-cost airline in Dammam further builds Saudi Arabia’s position as the world’s biggest aviation growth story, with the proposals received reflecting strong global investment in Saudi aviation," Minister of Transport and Logistics Services Saleh Al Jasser said.
"This award will drive further growth in support of Vision 2030 and the National Transport and Logistics Strategy.”
The award follows a competitive tender process initiated by Saudi Arabia’s GACA, involving proposals from international, regional and domestic airlines to establish a new Dammam-based national airline with majority Saudi ownership, the authority said.
The new low cost airline aims to enhance aviation sector’s competitiveness as well as expand travel options and increase passenger numbers, Abdulaziz Al Duailej, president of GACA, said in a separate post on X.
It is also meant to support the growth of economy and tourism in the eastern region of the kingdom, he added.
The tendering process for the airline had attracted other bidders. Kuwait’s Jazeera Airways had also placed a bid to launch the low-cost airline from Dammam, its chief executive told The National in an interview last year.
"We do believe we have the best credentials and have submitted the best plan but this is a tendering process so it can go either way," Barathan Pasupathi had said in September.
Saudi Arabia, the Arab world's largest economy, aims to diversify its economy away from oil as part of Vision 2030 programme.
The kingdom's plan is to become a travel hot spot, having invested $800 billion to develop the sector and set a revised target of attracting 150 million visitors by the end of the decade.
In 2023, Saudi Arabia also announced the creation of a new national airline Riyadh Air, as the kingdom seeks to develop into a global transport and logistics hub, attract tourists and diversify its economy.
Riyadh Air is fully owned by Saudi Arabia's Public Investment Fund and is expected to begin its first commercial flight in the fourth quarter of this year.
Competitive aviation market
"Air Arabia would be stepping into a very competitive Saudi landscape," said Saj Ahmad, chief analyst at StrategicAero Research told The National.
"With flynas, flyadeal, Saudi Airlines as well as Riyadh Air all competing for domestic, regional and international traffic, Air Arabia will have to carve out a niche to ensure success."
However, Air Arabia has a "suite of regional hubs so there’s a good chance it can use its regional footprint to augment its planned Saudi operations", he added.
"Longer term, the evolving Saudi market will change and it’ll be interesting to see if Air Arabia elects to spread beyond Dammam into more competitive cities like Jeddah and Riyadh and set up camp there."
Expansion of Dammam airport
Separately, Saudi Arabia on Sunday, also launched the Dammam Airports Strategy and a package of integrated development projects valued at more than 1.6 billion Saudi riyals ($427 million), including 77 infrastructure projects aimed at enhancing operational efficiency and improving the passenger experience.
The strategic plan aims to accommodate more than 19.3 million passengers annually at King Fahd International Airport by 2030, doubling the number served in 2022, the Saudi Press Agency reported.
It also seeks to significantly expand air cargo capacity to over 600,000 tonnes a year.
Future developments include an expansion of the airport’s operational capacity, increasing aircraft movements to 77 per hour and boosting annual passenger capacity to 32 million.
THE BIO
BIO:
Born in RAK on December 9, 1983
Lives in Abu Dhabi with her family
She graduated from Emirates University in 2007 with a BA in architectural engineering
Her motto in life is her grandmother’s saying “That who created you will not have you get lost”
Her ambition is to spread UAE’s culture of love and acceptance through serving coffee, the country’s traditional coffee in particular.
Mica
Director: Ismael Ferroukhi
Stars: Zakaria Inan, Sabrina Ouazani
3 stars
War 2
Director: Ayan Mukerji
Stars: Hrithik Roshan, NTR, Kiara Advani, Ashutosh Rana
Rating: 2/5
Kill%20Bill%20Volume%201
%3Cp%3E%3Cstrong%3EDirector%3C%2Fstrong%3E%3A%20Quentin%20Tarantino%3Cbr%3E%3Cstrong%3EStars%3C%2Fstrong%3E%3A%20Uma%20Thurman%2C%20David%20Carradine%20and%20Michael%20Madsen%3Cbr%3E%3Cstrong%3ERating%3C%2Fstrong%3E%3A%204.5%2F5%3C%2Fp%3E%0A
COMPANY PROFILE
Name: Mamo Year it started: 2019 Founders: Imad Gharazeddine, Asim Janjua Based: Dubai, UAE Number of employees: 28 Sector: Financial services Investment: $9.5m Funding stage: Pre-Series A Investors: Global Ventures, GFC, 4DX Ventures, AlRajhi Partners, Olive Tree Capital, and prominent Silicon Valley investors. BUNDESLIGA FIXTURES
Friday (all kick-offs UAE time)
Hertha Berlin v Union Berlin (10.30pm)
Saturday
Freiburg v Werder Bremen (5.30pm)
Paderborn v Hoffenheim (5.30pm)
Wolfsburg v Borussia Dortmund (5.30pm)
Borussia Monchengladbach v Bayer Leverkusen (5.30pm)
Bayern Munich v Eintracht Frankfurt (5.30pm)
Sunday
Schalke v Augsburg (3.30pm)
Mainz v RB Leipzig (5.30pm)
Cologne v Fortuna Dusseldorf (8pm)
Fight card
1. Bantamweight: Victor Nunes (BRA) v Siyovush Gulmamadov (TJK)
2. Featherweight: Hussein Salim (IRQ) v Shakhriyor Juraev (UZB)
3. Catchweight 80kg: Rashed Dawood (UAE) v Khamza Yamadaev (RUS)
4. Lightweight: Ho Taek-oh (KOR) v Ronald Girones (CUB)
5. Lightweight: Arthur Zaynukov (RUS) v Damien Lapilus (FRA)
6. Bantamweight: Vinicius de Oliveira (BRA) v Furkatbek Yokubov (RUS)
7. Featherweight: Movlid Khaybulaev (RUS) v Zaka Fatullazade (AZE)
8. Flyweight: Shannon Ross (TUR) v Donovon Freelow (USA)
9. Lightweight: Mohammad Yahya (UAE) v Dan Collins (GBR)
10. Catchweight 73kg: Islam Mamedov (RUS) v Martun Mezhulmyan (ARM)
11. Bantamweight World title: Jaures Dea (CAM) v Xavier Alaoui (MAR)
12. Flyweight World title: Manon Fiorot (FRA) v Gabriela Campo (ARG)
Keep it fun and engaging
Stuart Ritchie, director of wealth advice at AES International, says children cannot learn something overnight, so it helps to have a fun routine that keeps them engaged and interested.
“I explain to my daughter that the money I draw from an ATM or the money on my bank card doesn’t just magically appear – it’s money I have earned from my job. I show her how this works by giving her little chores around the house so she can earn pocket money,” says Mr Ritchie.
His daughter is allowed to spend half of her pocket money, while the other half goes into a bank account. When this money hits a certain milestone, Mr Ritchie rewards his daughter with a small lump sum.
He also recommends books that teach the importance of money management for children, such as The Squirrel Manifesto by Ric Edelman and Jean Edelman.
Ten tax points to be aware of in 2026
1. Domestic VAT refund amendments: request your refund within five years
If a business does not apply for the refund on time, they lose their credit.
2. E-invoicing in the UAE
Businesses should continue preparing for the implementation of e-invoicing in the UAE, with 2026 a preparation and transition period ahead of phased mandatory adoption.
3. More tax audits
Tax authorities are increasingly using data already available across multiple filings to identify audit risks.
4. More beneficial VAT and excise tax penalty regime
Tax disputes are expected to become more frequent and more structured, with clearer administrative objection and appeal processes. The UAE has adopted a new penalty regime for VAT and excise disputes, which now mirrors the penalty regime for corporate tax.
5. Greater emphasis on statutory audit
There is a greater need for the accuracy of financial statements. The International Financial Reporting Standards standards need to be strictly adhered to and, as a result, the quality of the audits will need to increase.
6. Further transfer pricing enforcement
Transfer pricing enforcement, which refers to the practice of establishing prices for internal transactions between related entities, is expected to broaden in scope. The UAE will shortly open the possibility to negotiate advance pricing agreements, or essentially rulings for transfer pricing purposes.
7. Limited time periods for audits
Recent amendments also introduce a default five-year limitation period for tax audits and assessments, subject to specific statutory exceptions. While the standard audit and assessment period is five years, this may be extended to up to 15 years in cases involving fraud or tax evasion.
8. Pillar 2 implementation
Many multinational groups will begin to feel the practical effect of the Domestic Minimum Top-Up Tax (DMTT), the UAE's implementation of the OECD’s global minimum tax under Pillar 2. While the rules apply for financial years starting on or after January 1, 2025, it is 2026 that marks the transition to an operational phase.
9. Reduced compliance obligations for imported goods and services
Businesses that apply the reverse-charge mechanism for VAT purposes in the UAE may benefit from reduced compliance obligations.
10. Substance and CbC reporting focus
Tax authorities are expected to continue strengthening the enforcement of economic substance and Country-by-Country (CbC) reporting frameworks. In the UAE, these regimes are increasingly being used as risk-assessment tools, providing tax authorities with a comprehensive view of multinational groups’ global footprints and enabling them to assess whether profits are aligned with real economic activity.
Contributed by Thomas Vanhee and Hend Rashwan, Aurifer
Match info:
Real Betis v Sevilla, 10.45pm (UAE)
