Saudi Arabia’s Flynas to double jet orders in tourism push

Saudi Arabian discount airline Flynas doubled its growth plan, saying it will expand orders to 250 aircraft and tap a government push to build tourism in the Gulf kingdom. 

The strategy is aimed at establishing Flynas as the largest low-cost carrier in the Middle East, the company said in a statement Monday, ahead of rivals including United Arab Emirate-based FlyDubai and Air Arabia. Discussions are under way with both Airbus SE and Boeing Co., according to a spokesman.

Flynas currently operates 35 planes but is targeting rapid expansion as Saudi Arabia seeks to attract 100 million tourists by 2030, five times the 2019 level, as part of a bid to diversify away from oil. To hit that target, the country aims to invest billions of dollars in airports and aircraft to boost transport links.

The fleet at Flynas, which is based in the Saudi capital Riyadh, currently features only Airbus narrow-bodies, though the carrier has said before that long-haul models are under consideration.

“We will explore aircraft of different capabilities, to fly to new destinations increasing the connection of the world to the kingdom, support tourism and contribute to the transportation of pilgrims and Umrah performers,” Chief Executive Officer Bander Al-Mohanna said in the release.

The CEO said in late 2019 that potential plans included long-haul operations using wide-body aircraft. At the time it was evaluating Airbus A330neo and Boeing 787 planes.

Flynas, which began flying as Nas Air in 2007, is partly owned by Kingdom Holding Co., the investment vehicle of Saudi billionaire Prince Alwaleed Bin Talal. It currently has an order for 80 A320neo jets, of which 22 have so far been delivered, plus options to buy 40 more, the spokesman said.

Saudia Fleet

In the local market Flynas competes with the low-cost Flyadeal arm of state-owned Saudi Arabian Airlines or Saudia.

Saudia is itself targeting a fleet of 250 aircraft by 2030, adding around 100 for growth while renewing a significant chunk of an existing 150-strong complement, its CEO said in November.

While Saudia is focused on Jeddah, pilgrimage traffic to Mecca and an emerging tourism industry along the Red Sea, the government is also planning the launch of a wholly new airline at a brand new airport in Riyadh.

Flynas, controlled by National Air Services Holding, has been expanding beyond its domestic routes to serve destinations in India, central and eastern Europe and other parts of the Middle East.