By Mustapha Salisu
As part of its efforts compete with regional transport and travel hubs, the Kingdom of Saudi Arabia has announced the creation of a new national airline, Riyadh Air.
Saudi Arabia’s Crown Prince Mohammed bin Salman announced formally on Sunday while pointing veteran in the industry Douglas as its chief executive.
According to the Crown Prince, Riyadh Air will will serve more than 100 destinations around the world by 2030, making use of the kingdom’s location between Asia, Africa and Europe, state news agency SPA said.
He explained that the national carrier is expected to generate $20 billion to Saudi Arabia’s non-oil GDP growth and create more than 200,000 jobs both directly and indirectly.
The announcement may lead to a tougher battle for passengers, going head-to-head with regional giants Emirates, Qatar Airways and Turkish Airlines as the travel industry recovers from the pandemic.
Riyadh Air is fully owned by Saudi Arabia’s sovereign wealth fund, the Public Investment Fund (PIF), which has more than $600 billion in assets and is the main driver of the kingdom’s efforts to diversify its economy and wean itself off oil.
Credit: Reuters
