Saudi Arabia opens charter airline license bidding to expand aviation sector
The General Authority of Civil Aviation said interested investors must request the tender documents via email. The bidding window opened April 13 and runs through May 21, with offers to be submitted both physically in sealed envelopes and electronically in encrypted form. Bids will be opened on May 22 in Riyadh.
The move supports the Kingdom's National Aviation Strategy, which targets facilitating 330 million passengers annually and connecting to over 250 international destinations by 2030.
In an official release, GACA said that the initiative is designed 'to enhance the quality of services provided to travelers, raise the level of competitiveness.'
The development follows a February policy shift that lifted cabotage restrictions, allowing foreign charter operators to apply for domestic routes under Saudi regulations beginning May 1.
Cabotage restrictions are regulations that prohibit foreign-flagged ships or airlines from transporting goods or passengers within a country's borders, typically allowing only domestic carriers to operate such routes to protect national industries.
The reform is expected to stimulate competition and attract foreign investment in general aviation.
The development marks a key milestone in Saudi Arabia's ongoing efforts to diversify its aviation sector and enhance private sector participation in the growing charter services market.
According to official data, the Kingdom's business jet sector recorded a 24 percent increase in flight volumes in 2024, with domestic flights rising 26 percent to 9,206 and international flights up 15 percent to 14,406 — reflecting the sector's expanding contribution to the national economy.
Announcing the policy changes in February, Imtiyaz Manzary, general manager for general aviation at GACA, highlighted the significance of the move, noting that the authority is opening new opportunities for the global aviation industry by lifting restrictions on domestic charter flight operations in the Kingdom.
'This regulatory decision supports GACA's roadmap to establish Saudi Arabia as a general aviation hub, alongside an unprecedented infrastructure program to develop new private airports and terminals across the Kingdom,' he said, as reported at the time by the Saudi Press Agency.
The removal of these restrictions forms a key part of the authority's strategy to boost competition, attract foreign investment, and offer greater operational flexibility within the general aviation sector.
As part of its broader General Aviation Roadmap — unveiled at the Future Aviation Forum in May — GACA aims to transform the sector into a $2 billion industry by 2030, generating 35,000 jobs. The plan includes the development of six dedicated business aviation airports, nine specialized terminals, and expanded maintenance, repair, and overhaul capabilities for business jets.
GACA said inquiries on the license tender will be accepted via email until May 8. It also warned that discrepancies between hard and electronic copies will result in disqualification and that late submissions will not be accepted.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Saudi Gazette
2 hours ago
- Saudi Gazette
Saudi Arabia produces over 122,000 tons of high-quality local grapes during peak summer season
Saudi Gazette report RIYADH — Saudi markets are witnessing a surge in locally grown summer fruits this August, with domestic grapes taking center stage for their superior quality and high demand over imported varieties. The Kingdom produces more than 122,300 tons of grapes annually, meeting market needs nationwide. Known for their rich nutritional value and pleasant taste, Saudi grapes also play a vital role in various food processing industries. According to the Ministry of Environment, Water, and Agriculture, grape cultivation in the Kingdom has seen significant growth due to substantial government support, the adoption of advanced farming techniques, and good agricultural practices. Major grape-producing regions include Tabuk, Qassim, Hail, Al-Jouf, Madinah, Asir, and Taif. Popular local varieties include Taifi, Halawani, Banati, Early Sweet, Crimson Seedless, Thompson Seedless, and Superior, all renowned for their high quality and strong consumer demand. The diversity of grape types supports their use in multiple industries, such as juices, ice cream, and confectionery, while also contributing to food security and strengthening the national economy. The ministry emphasized its commitment to empowering farmers across the Kingdom according to the comparative advantage of their crops by providing technical support, advisory services, and financing facilities. It also encourages the expansion of modern agricultural technologies to boost production efficiency and enhance the Kingdom's self-sufficiency.
Leaders
6 hours ago
- Leaders
Saudi Arabia, Canada Forge New Diplomatic Path in Ottawa Meeting
Saudi Arabia and Canada have successfully launched their first round of high-level political consultations in Ottawa, with a landmark meeting that ushers in a promising new chapter for diplomatic cooperation between both nations. Dr. Saud Al-Sati, Saudi Arabia's Undersecretary of the Ministry of Foreign Affairs for Political Affairs, and Alexander Leveque, Canada's Assistant Deputy Minister for Europe, Arctic, and Middle East Affairs, led the discussions. Their collaborative leadership demonstrated a shared commitment to strengthening bilateral ties immediately. Furthermore, both delegations explored diverse opportunities to enhance collaboration across critical sectors including trade and energy. They also exchanged comprehensive perspectives on regional stability and international challenges affecting mutual interests. Framework for Future Cooperation Notably, officials signed a Memorandum of Understanding to establish regular political consultations between foreign ministries. This strategic framework ensures consistent high-level dialogue will continue developing in the coming years. Additionally, the agreement creates structured mechanisms for addressing shared concerns in a timely manner, with both nations expressing enthusiasm about expanding economic partnerships while maintaining diplomatic coordination on global issues. Moreover, the successful consultations reflect growing recognition of mutual benefits in strengthened Saudi-Canadian relations, with both sides agreed to hold regular meetings that will help navigate complex international landscapes with unified approaches. The breakthrough represents significant progress following previous diplomatic challenges between the two countries. Consequently, this new chapter promises enhanced cooperation across multiple strategic domains for mutual benefit. Short link : Post Views: 5
Saudi Gazette
8 hours ago
- Saudi Gazette
Saudi Gazette publishes full text of new foreign property ownership law
Saudi Gazette report RIYADH — Saudi Gazette has obtained an official copy of Saudi Arabia's 'Non-Saudi Real Estate Ownership Law' and is publishing the complete English text of its 15 articles below. The law consists of 15 articles and will come into force 180 days after its publication. The new framework allows non-Saudis — including individuals, companies, and non-profit entities — to own or acquire rights to real estate within geographic areas to be designated by the Council of Ministers. It introduces provisions for foreign companies, investment funds, and special-purpose entities to own property across the Kingdom, including Makkah and Madinah, under strict conditions. While the law grants wider ownership rights, it places restrictions on sensitive locations, limiting property ownership in Makkah and Madinah to Muslim individuals. It also mandates registration with the competent authorities, introduces a fee of up to 5 percent on disposals, and sets penalties of up to SR10 million or forced sale of property in case of violations. The legislation replaces the previous 2000 law and establishes a comprehensive, transparent system to regulate foreign ownership of real estate in the Kingdom. To read the full text of the law, here are the articles in detail: Article 1: Definitions For the purposes of this Law, the following terms shall have the meanings assigned to them: Law: The Non-Saudi Real Estate Ownership Law. Regulations: The implementing regulations of the Law. Authority: The Real Estate General Authority. Non-Saudi: A natural person who does not hold Saudi nationality. A non-Saudi company. A non-Saudi non-profit entity. Any other non-Saudi legal person designated by decision of the Council of Ministers. Article 2: General ownership provisions A non-Saudi may own real estate or acquire other real rights in real estate within geographic areas to be defined under Paragraph (2) of this Article. By decision of the Council of Ministers — based on a proposal from the Authority's Board of Directors and approval of the Council of Economic and Development Affairs — the following shall be determined: a. The geographic zones where non-Saudis may own or acquire real rights. b. The types of real rights non-Saudis may acquire. c. The maximum percentage of ownership permitted to non-Saudis within such zones. d. The maximum duration for usufruct rights for non-Saudis. e. Any controls related to non-Saudi ownership or acquisition of real rights. In addition to the rights set out in Paragraphs (1) and (2), a natural person legally residing in the Kingdom may own one residential property outside the designated zones, except in Makkah and Madinah. The Regulations shall set the provisions of this Paragraph. In Makkah and Madinah, non-Saudi ownership or acquisition of real rights shall be limited to natural persons who are Muslims. Article 3: Non-listed foreign companies A non-listed company incorporated under Saudi law with one or more foreign shareholders may own or acquire real rights in property within the zones defined under Article 2(2), including in Makkah and Madinah. Subject to Paragraph (1) and other applicable laws, such companies may also acquire property or rights needed for their activities or for staff housing inside or outside the designated zones, in accordance with the Regulations. Article 4: Listed companies and funds Listed companies, investment funds, and special-purpose entities licensed under Saudi law may own or acquire real rights in property across the Kingdom — including in Makkah and Madinah — in accordance with the Capital Market Law, its implementing regulations, and controls established by the Capital Market Authority in coordination with the Real Estate General Authority and other relevant bodies. Article 5: Relation with other laws This Law shall not prejudice the application of the Premium Residency Law, the GCC nationals' reciprocal property ownership framework, or any other laws granting more favorable rights to non-Saudis. Article 6: Scope of rights Ownership or acquisition of real rights by a non-Saudi does not confer any privileges beyond those prescribed by law for the holder of such rights. Article 7: Diplomatic and international entities Subject to reciprocity, accredited diplomatic missions in the Kingdom may own official premises and residences for heads of mission and staff. International and regional organizations may own their official premises as permitted under their governing treaties, subject to approval from the Ministry of Foreign Affairs. Article 8: Registration requirements Non-Saudi companies, non-profit entities, or other legal persons designated by the Council of Ministers must register with the competent authority before acquiring property or real rights in the Kingdom, in accordance with the Regulations. Non-Saudi ownership or acquisition of real rights shall only be valid upon registration with the Real Estate Register in accordance with applicable laws. Article 9: Fees Without prejudice to existing taxes or fees, the Authority shall levy a fee not exceeding 5% of the value of any disposal by a non-Saudi of real rights in property in the Kingdom. Article 10: Penalties Without prejudice to harsher penalties under other laws, any violation of this Law or its Regulations shall result in one or more of the following: a. A warning. b. A fine not exceeding 5% of the value of the real right concerned, capped at SR10,000,000. The Regulations shall include a schedule of violations and corresponding penalties, taking into account the seriousness, circumstances, and effects of the violation. Article 11: Committees One or more committees of at least three legal specialists shall be formed by decision of the Authority's Board to examine violations and impose penalties under Article 10. The Authority's Board shall set the rules, procedures, and compensation for committee members. Committee decisions may be appealed before the Administrative Court within 60 days of notification. Article 12: False information Without prejudice to harsher penalties under other laws, a non-Saudi who knowingly provides false or misleading information to acquire property or rights under this Law shall be subject to: a. A fine not exceeding 5% of the value of the real right concerned, capped at SR10,000,000. b. Forced sale of the real right. The Public Prosecution shall investigate and prosecute such violations, with jurisdiction resting in the competent court. Where a court orders the sale of a real right, the violator shall be refunded either the purchase price or the sale proceeds, whichever is less, after deducting fines, taxes, fees, and sale expenses. Any surplus shall be paid to the State Treasury. Article 13: Regulations The Regulations shall be issued by the Council of Ministers within 180 days of publication, based on a proposal by the Authority's Board and approval of the Council of Economic and Development Affairs, and shall take effect upon enforcement of this Law. The Regulations shall determine: a. Procedures for non-Saudis acquiring real rights in property. b. Requirements for enforcing this Law on non-Saudis not residing in the Kingdom. c. The applicable fee under Article 9, based on property type, purpose, and location. d. Transactions subject to a zero percent fee and related conditions. Article 14: Repeal of previous law This Law repeals the 'Non-Saudi Real Estate Ownership and Investment Law' issued by Royal Decree No. (M/15) dated 17/4/1421H, and annuls any conflicting provisions. Article 15: Entry into force This Law shall take effect 180 days after its publication in the official gazette.
