According to reports, the country considered starting a new airline in June 2023 to boost tourism in the region. Reports regarding the carrier’s name and the new national carrier of the corporation called “RIA” have now increased anticipation for the launch of a new airline.
With an extra 100 options, 50 737-10s and 737-8-200s have been ordered by Boeing [NYSE: BA] and International Airlines Group (IAG). The oil industry has brought great wealth to Saudi Arabia.
The country in the Middle East is working to lessen its reliance on oil money. It is now focusing on developing other sources of income to have a comparably autonomous economy.
“IAG is updating its short-haul fleet, which will include new Boeing 737 aircraft. IAG CEO Luis Gallego stated that these planes are more fuel-efficient than the ones they will replace and will aid in achieving our objective of producing net zero carbon emissions by 2050. IAG will be able to equip the 737-8-200 with up to 200 seats, increasing revenue potential while reducing fuel use.
The 737-10, the largest model in the family, has a 3,300-mile range and can carry 230 passengers in a single class. 99 percent of airports with a single aisle can be traversed by fuel-efficient aircraft—routes, including those using the 757.
Once operational, it will operate out of Riyadh as Saudi Arabia’s second national carrier. Contemporary Saudi Arabia is based in Jeddah. Saudi Arabia plans to increase the number of international transit travelers to 30 million by 2030 from the current level of slightly under 4 million. The new carrier will eventually need to invest $30 billion in order to operate over 150 routes throughout Europe, North America, South America, Africa, and Asia. Emirates today provides service to 158 destinations in 85 countries. Africa and Asia-Pacific are just two of the significant international source markets that the new carrier will concentrate on. Currently, 60% of Saudi Arabia’s air travel is to destinations in the Middle East. According to the source, Asia-Pacific is home to 20% of the world’s population, with Africa making up the remaining 10%.