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Saudi Arabia Opens Skies To Foreign Charter Jets In Major Aviation Shake-Up
Saudi Arabia Opens Skies To Foreign Charter Jets In Major Aviation Shake-Up

Gulf Insider

time01-05-2025

  • Business
  • Gulf Insider

Saudi Arabia Opens Skies To Foreign Charter Jets In Major Aviation Shake-Up

Saudi Arabia has officially opened its domestic airspace to international charter operators, ending long-standing cabotage restrictions and giving foreign private jet companies the green light to fly between cities inside the Kingdom. The change—effective from May 1, 2025—means that non-Saudi business and private jet operators can now run intra-Kingdom charter flights without needing a local partner or special exemption. It's a significant regulatory shift aimed at boosting private aviation and attracting more global investment into the sector. 'This policy change will build real opportunities for growth, create jobs, and make the Kingdom a more connected, accessible place for business and private travel,' said Imtiyaz Manzary, General Manager for General Aviation at GACA, the country's aviation regulator. The move is part of Saudi Arabia's General Aviation Roadmap, launched in 2024, which targets building a $2 billion general aviation industry by 2030. It includes removing empty-leg restrictions, upgrading infrastructure, and attracting international operators. Since GACA first signaled the rule change in February, several foreign operators have already submitted applications to enter the domestic market—an early sign of investor interest in the newly liberalised space. The reform also supports the country's Vision 2030 economic diversification agenda, which includes turning Saudi Arabia into a regional aviation and logistics hub. Opening up domestic airspace to non-Saudi players is seen as a bold, market-friendly step in that direction. Why it matters: Foreign charter firms can now fly domestic routes like Riyadh–Jeddah or Dammam–NEOM. More competition could mean better availability and pricing for private flyers. Signals a more open and investor-friendly stance from Saudi regulators. Bottom line:Saudi Arabia's skies are opening up—literally. With a pro-market policy shift now in place, the Kingdom is positioning itself as a serious player in the global business aviation scene.

Saudi Arabia officially opens domestic aviation market to international charter flight operators
Saudi Arabia officially opens domestic aviation market to international charter flight operators

Zawya

time01-05-2025

  • Business
  • Zawya

Saudi Arabia officially opens domestic aviation market to international charter flight operators

Riyadh – Saudi Arabia's General Authority of Civil Aviation (GACA) has officially removed cabotage restrictions on charter flight operations, with several international business and private jet operators already applying for permits to operate flights within the Kingdom. The decision, effective 1 May 2025, marks a major milestone in GACA's strategy to transform Saudi Arabia into a global aviation hub and drive growth of the private aviation and business jet sector. Imtiyaz Manzary, General Manager for General Aviation at GACA, said: 'GACA is excited to welcome international operators to fly within Saudi Arabia. This policy change will build real opportunities for growth, create jobs, and make the Kingdom a more connected, accessible place for business and private travel. We believe this step will unlock huge potential for operators and passengers alike.' This policy change is a key pillar of the General Aviation Roadmap, first announced in May 2024, which outlines a comprehensive plan to develop the private aviation sector into a $2 billion industry by 2030. In addition to regulatory reforms like lifting cabotage and removing empty-leg restrictions, the roadmap includes major infrastructure investments across the Kingdom. Since the initial announcement of the cabotage removal in February, GACA has received several applications from international and regional operators expressing interest in entering the Saudi market. This early momentum reflects growing investor confidence in the Kingdom's aviation vision and the attractiveness of its evolving general aviation landscape. The opening of the domestic charter market supports Saudi Arabia's broader Vision 2030 and Saudi Aviation Strategy objectives, positioning the Kingdom as a more open, competitive, and investor-friendly destination for aviation. About the Saudi Aviation Strategy and General Authority for Civil Aviation (GACA): The Saudi Aviation Strategy is transforming the entire Saudi aviation ecosystem to become the number one aviation sector in the Middle East by 2030, enabled by Vision 2030 and in line with the Kingdom's National Transport and Logistics Strategy. The Strategy is unlocking US$100 billion in private and government investment across the Kingdom's airports, airlines, and aviation support services. The Strategy will extend Saudi Arabia's connectivity across 29 airports, triple annual passenger traffic, establish two global long-haul connecting hubs, and increase air cargo capacity. The Saudi Aviation Strategy is led by the Kingdom's aviation regulator, the General Authority for Civil Aviation (GACA). GACA's regulatory mission is to develop the air transport industry in accordance with the latest international standards, strengthen the position of the Kingdom as a globally influential player in civil aviation, and enforce the relevant rules, regulations, and procedures to ensure air transport safety and security, and sustainability.

Saudi Arabia Set to Open Domestic Charter Market
Saudi Arabia Set to Open Domestic Charter Market

Gulf Insider

time30-04-2025

  • Business
  • Gulf Insider

Saudi Arabia Set to Open Domestic Charter Market

Saudi Arabia is set to open its domestic private aviation market to foreign operators starting on May 1, 2025, according to the General Authority of Civil Aviation (GACA). The Kingdom will remove cabotage restrictions on foreign on-demand charter flights within the country, the authority said in a statement published in February. The new policy will allow foreign charter operators to apply for permission to operate domestic flights, following specific requirements set by GACA. According to the release, the removal of cabotage restrictions marks an important step in GACA's strategy to enhance competition, attract foreign investment, and provide greater flexibility for operators in the general aviation industry. 'GACA is unlocking new opportunities for the global aviation industry, by removing restrictions on charter flight businesses to operate domestically in the Kingdom,' GACA General Manager for General Aviation Imtiyaz Manzary said. 'This regulatory decision supports GACA's roadmap to establish Saudi Arabia as a general aviation hub, alongside an unprecedented infrastructure program to establish new private airports and terminals across the Kingdom,' he added. GACA's General Aviation Roadmap was launched during the Future Aviation Forum in May 2024, and includes a comprehensive transformation program to develop the general aviation sector into a $2 billion industry by 2030, supporting 35,000 jobs. The roadmap aligns infrastructure planning and regulations across the sector, delivering six dedicated business aviation airports and a further nine dedicated business aviation terminals. It will also increase the number of business aviation fixed-base operators and maintenance, repair and overhaul capacity for business jets. Read more: Old Town in Saudi Arabia's Jeddah Regains Glory as Grand Prix Lures Tourists

Saudi Arabia opens charter airline license bidding to expand aviation sector
Saudi Arabia opens charter airline license bidding to expand aviation sector

Arab News

time14-04-2025

  • Business
  • Arab News

Saudi Arabia opens charter airline license bidding to expand aviation sector

JEDDAH: Saudi Arabia has launched a public tender for a national charter air carrier license, inviting private operators to offer non-scheduled services as part of its push to expand the 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.

Saudi Arabia's private aviation sector soars amid new reforms, growing workforce
Saudi Arabia's private aviation sector soars amid new reforms, growing workforce

Al Arabiya

time13-03-2025

  • Business
  • Al Arabiya

Saudi Arabia's private aviation sector soars amid new reforms, growing workforce

Private jet operators are racing to establish operations in Saudi Arabia as the Kingdom implements new reforms in its private aviation sector. Experts say flight volume surged 24 percent in 2024 and new regulations are set to transform the market into a $2 billion industry by 2030. The boom comes as Saudi Arabia removes key restrictions on private aviation operations and announces ambitious infrastructure plans. 'The market is set to boom in the next few years. It's undoubted that flight volumes will increase, infrastructures will increase, businesses will increase,' Caroline Cresp, managing director of Lunajets Dubai, which brokers private jets across the world. In 2024, the Kingdom's business jet sector recorded 23,612 flights, marking a 24 percent increase from the previous year. Domestic private jet flights rose by 26 percent to 9,206, while international flights grew by 15 percent to 14,406, according to data from Aviation Pros. The surge is particularly pronounced in Riyadh, which accounts for two-thirds of private jet traffic. According to Cresp, most of the private flights head to Riyadh and Jeddah, but they are seeing an increase in requests to destinations such as Red Sea and NEOM, while the majority of the demand is still on heavy jets. 'And that's pretty good, because that's billions of (dollars) in money,' said Cresp. The growth is driven by several factors, including Saudi Arabia's Vision 2030 economic transformation plan and new regulations requiring international companies to establish regional headquarters in the Kingdom to secure government contracts. 'Historically, people were going to Saudi Arabia to do business in major cities such as Riyadh and Jeddah as well as pilgrimage purposes. Since the announcement of Vision 2030, many workers have relocated to Saudi Arabia and with those projects underway, the demand for travel is picking up and we are seeing a spike in premium business travel.' Regulatory reforms A major catalyst for market growth is the removal of restrictive regulations. Until October 2023, private jets could not operate in and out of Saudi Arabia with different passengers, making travel expensive due to the necessary empty return legs. The General Authority of Civil Aviation (GACA) has since implemented reforms allowing one-way flights into and out of the Kingdom. Additionally, from May 1, 2025, foreign-registered aircraft will be permitted to conduct domestic flights within Saudi Arabia, a move industry experts call a 'game changer.' 'This is truly a game changer, simply because there are not enough aircrafts in the Kingdom available for charters,' said Cresp, adding that Saudi Arabia's private aviation market serves a diverse mix of businesses as well as ultra-high-net-worth-individuals (UHNWI), 'all seeking private aviation services.' Infrastructure investment The Kingdom's aviation transformation is backed by substantial infrastructure investment. GACA's General Aviation Roadmap includes plans for six dedicated business aviation airports and nine exclusive business aviation terminals, aiming to create approximately 35,000 jobs. 'These initiatives are basically aiming at pushing in $2 billion into the market by 2030 – and that's an astronomical amount of money,' said Cresp, adding that as the market grows, so will an influx of new private and VIP terminals. The aviation sector's development extends beyond traditional business hubs to support new mega-projects like NEOM and the Red Sea Project. According to Lee Slimming, who works with private jet aviation companies in the GCC, companies are adapting their business models to serve the growing market. 'For the shared charters – we used to bring them into Dubai and then send them on to Saudi from Dubai. But in the long term, we've been chatting with a couple of companies about doing direct flights into Saudi from Europe and from the UK,' said Slimming. She said price points are also 'accessible' for people traveling to Saudi within the GCC market, for example, as its 'not a super long journey', saying a 'completely private jet' catering for six people from Dubai to Riyadh would set passengers back about $20,000. Cresp said that the private aviation market in Saudi Arabia has historically been mainly for private users, with only a very few owners making their jets available for charters. 'Even until now, there are only a handful of operators providing charter aircrafts to the market. However, with the opening of the skies, combined with new businesses establishing regional headquarters in the Kingdom, this is bound to increase. More business, more travel, more jets.' She also said the Kingdom's financial investment into the sector and business-friendly leadership suggest a promising future. 'It is bound to happen,' she said, adding that, with continued regulatory reforms, infrastructure development, and growing demand from both business and private users, Saudi Arabia's private aviation sector appears poised for sustained growth, potentially rivaling established regional hubs in the coming years. 'There is a buzz [in the sector] right now.'

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