Saudi Arabia's Saudia Group has revealed plans to buy 105 Airbus planes, marking the largest aircraft deal in the country's history.
As per NDTV, the announcement was made on Monday, May 20, with Saudia airline set to receive 54 A321neo aircraft, while budget offshoot flyadeal will add 12 A320neo and 39 A321neo planes to its fleet.
The statement said, "This landmark agreement encompasses 105 confirmed aircraft and marks a significant moment not only for the Saudi aviation industry but also for the wider MENA region."
The purchase, described as "the largest aircraft deal in Saudi aviation history", marks a further investment by Saudi airlines more than a year after new carrier Riyadh Air was unveiled.
Meanwhile, authorities have announced intentions to construct a new airport in Riyadh capable of accommodating up to 120 million passengers annually.
However, the fleet expansion will position Saudia Group for substantial growth, with deliveries of the new aircraft expected to commence in 2026 and continue until 2032.
While, the exact value of the deal was not disclosed, it is expected to have significant economic implications, including job creation and boosting the national economy.
Crown Prince Mohammed bin Salman believes aviation is crucial for his "Vision 2030" plan to change the economy, aiming to increase yearly air travel to 330 million passengers by 2030.
Vision 2030 "motivated our decision to secure this significant deal, which will create jobs, increase local content, and contribute to the national economy," Saudia Group director general Ibrahim Al-Omar said in the statement.
Moreover, this announcement follows Saudia's previous agreements to purchase Dreamliner planes from Boeing, as well as the unveiling of Riyadh Air and its own aircraft procurement plans.
Saudi Arabia's entry into the aviation market signals increased competition in the Gulf region, alongside established players like Emirates and Qatar Airways.
