"Air Arabia Jordan" nel prossimo futuro

[kenyaprince]

Riporto da Arabian Business le parole di Mohammad Kamal (executive director di Arqaam Capital)

"Air Arabia appears to be looking to the long term strategic benefits of establishing an operation in Jordan. With its attractive geographic location midway between the UAE and Mediterranean Europe, Air Arabia Jordan can gain access to European travellers wishing to vacation in the Red Sea.

“However, just as when it established hubs in Egypt and Morocco, Air Arabia has bought the right to operate from these locations — something which can be scaled up or down depending on economic or political circumstances within the catchment area of a particular hub.”

 

[kenyaprince]

Air Arabia Jordan is most likely to start flights to Jeddah, Kuwait City and Erbil, with other possible destinations to Dubai and Riyadh also expected when operations begin in Q1 2015 – anna.aero’s analysis can exclusively reveal. The new LCC, set-up by Air Arabia, is to open a new base in Amman ‒ its fifth ‒ adding to existing hub operations at Sharjah, Ras Al Khaimah, Casablanca (Air Arabia Maroc) and Alexandra (Air Arabia Egypt), following the acquisition of a 49% stake in Petra Airlines, which will be rebranded as Air Arabia Jordan.
During the launch press conference on 5 January, Air Arabia Chairman Sheikh Abdullah Bin Mohammad Al Thani stated that the new carrier would fly “to a range of destinations across the Europe, Middle East and North Africa region” from Amman. He added that “launch routes will be announced in the coming weeks”, however our data elves at anna.aero are an impatient bunch and they like to use schedule data and analysis to determine the most likely new route candidates – just for our readers.
[h=2]Dot-to-dot – Air Arabia style[/h]Air Arabia’s four bases currently comprise of the following operations for the week commencing 8 January 2015 (according to OAG Analyser):
Sharjah (SHJ) – 64 destinations (in Armenia, Bangladesh, Bahrain, Egypt, India, Iraq, Iran, Jordan, Kenya, Kuwait, Kazakhstan, Lebanon, Sri Lanka, Nepal, Oman, Pakistan, Qatar, Russia, Saudi Arabia, Sudan, Turkey and Ukraine);
Ras Al Khaimah (RKT) – eight destinations (Cairo, Chittagong, Dhaka, Islamabad, Jeddah, Lahore, Muscat and Peshawar);
Alexandria (HBE) – five destinations (Amman, Dammam, Jeddah, Kuwait City and Riyadh);
Casablanca (CMN) – 11 destinations (Barcelona, Milan/Bergamo, Bologna, Brussels, Cuneo, Lyon, Basel, Montpellier, Istanbul Sabiha Gökçen, Toulouse and Venice Marco Polo).
In terms of trying to determine which are the most likely routes to be started by Air Arabia Jordan, in true LCC style it may well be considering a joining of the dots of its existing network. Considering existing connections between its five potential hubs, Air Arabia currently flies from Sharjah to Amman (twice-daily) and Alexandria (daily), but not to Casablanca. One hub-to-hub connection that might be likely is Air Arabia Jordan offering an Amman-originating service to Sharjah to complement or replace the existing double-daily operation by Air Arabia. The potential 53-kilometre domestic sector between Sharjah and Ras Al Khaimah is clearly not viable, however the LCC’s hub in the latter UAE city, set-up following the demise of RAK Airways last January, is yet to be connected to any of Air Arabia’s other bases. To conclude, Air Arabia Egypt also offers a twice-weekly link between Alexandria and Amman, but no further intra-hub connections from its Egyptian operation.
[h=2]Low-hanging fruit route target[/h]On this basis, Air Arabia Jordan may well consider new links from Amman to its other unserved hubs of Casablanca and Ras Al Khaimah, both of which are currently unserved. However, anna.aero’s data elves think that the fledgling LCC will most likely target markets with existing significant volumes of traffic, rather than pursuing niche markets in the initial start-up phase or route selection.

Source: OAG Analyser for w/c 8 January 2015.​

​

Looking at which airlines serve the top 12 destinations from Amman and what opportunities may present themselves to Air Arabia Jordan as a result, each of the potential routes has been considered as being either ‘highly likely’, ‘likely’ or ‘unlikely’. The ability of the LCC gaining airline designation on any bilateral agreements between the two nations has been evaluated in this analysis, with nations typically agreeing that the same number of carriers from each side can operate on city pairs. In addition to this, Petra is already present in some of these markets, so it would seem likely that Air Arabia Jordan would assume responsibility for flying these routes.
[TABLE="class: post-table, width: 100%"]
[TR]
[TH="bgcolor: #F9F9F9"]Route[/TH]
[TH="bgcolor: #F9F9F9"]Jordanian designation[/TH]
[TH="bgcolor: #F9F9F9"]Country 2 designation[/TH]
[TH="bgcolor: #F9F9F9"]Result[/TH]
[/TR]
[TR]
[TD]Dubai[/TD]
[TD]Royal Jordanian[/TD]
[TD]Emirates, flydubai[/TD]
[TD]Likely[/TD]
[/TR]
[TR]
[TD="bgcolor: #F9F9F9"]Jeddah[/TD]
[TD="bgcolor: #F9F9F9"]Royal Jordanian, Petra Airlines[/TD]
[TD="bgcolor: #F9F9F9"]Saudia Arabian Airlines, flynas[/TD]
[TD="bgcolor: #F9F9F9"]Highly likely[/TD]
[/TR]
[TR]
[TD]Kuwait City[/TD]
[TD]Royal Jordanian, Petra Airlines[/TD]
[TD]Jazeera Airways, Kuwait Airways[/TD]
[TD]Highly likely[/TD]
[/TR]
[TR]
[TD="bgcolor: #F9F9F9"]Cairo[/TD]
[TD="bgcolor: #F9F9F9"]Royal Jordanian, Royal Falcon[/TD]
[TD="bgcolor: #F9F9F9"]EGYPTAIR[/TD]
[TD="bgcolor: #F9F9F9"]Unlikely[/TD]
[/TR]
[TR]
[TD]Riyadh[/TD]
[TD]Royal Jordanian[/TD]
[TD]Saudia Arabian Airlines, flynas[/TD]
[TD]Likely[/TD]
[/TR]
[TR]
[TD="bgcolor: #F9F9F9"]Beirut[/TD]
[TD="bgcolor: #F9F9F9"]Royal Jordanian[/TD]
[TD="bgcolor: #F9F9F9"]Middle East Airlines (Yemenia)[/TD]
[TD="bgcolor: #F9F9F9"]Unlikely[/TD]
[/TR]
[TR]
[TD]Abu Dhabi[/TD]
[TD]Royal Jordanian[/TD]
[TD]Etihad Airways[/TD]
[TD]Unlikely[/TD]
[/TR]
[TR]
[TD="bgcolor: #F9F9F9"]Istanbul[/TD]
[TD="bgcolor: #F9F9F9"]Royal Jordanian[/TD]
[TD="bgcolor: #F9F9F9"]Turkish Airlines[/TD]
[TD="bgcolor: #F9F9F9"]Unlikely[/TD]
[/TR]
[TR]
[TD]Doha[/TD]
[TD]Royal Jordanian[/TD]
[TD]Qatar Airways[/TD]
[TD]Unlikely[/TD]
[/TR]
[TR]
[TD="bgcolor: #F9F9F9"]London[/TD]
[TD="bgcolor: #F9F9F9"]Royal Jordanian[/TD]
[TD="bgcolor: #F9F9F9"]British Airways[/TD]
[TD="bgcolor: #F9F9F9"]Unlikely[/TD]
[/TR]
[TR]
[TD]Erbil[/TD]
[TD]Royal Jordanian, Royal Falcon, Petra Airlines[/TD]
[TD]Iraqi Airways, Zagrosjet,[/TD]
[TD]Highly likely[/TD]
[/TR]
[TR]
[TD="bgcolor: #F9F9F9"]Sharjah[/TD]
[TD="bgcolor: #F9F9F9"][/TD]
[TD="bgcolor: #F9F9F9"]Air Arabia[/TD]
[TD="bgcolor: #F9F9F9"]Likely[/TD]
[/TR]
[TR]
[TD="class: post-table-caption, bgcolor: #CBCBCB !important, colspan: 4"]Source: OAG Analyser for w/c 8 January 2015.[/TD]
[/TR]
[/TABLE]
Following this analysis of Amman’s schedule data, the three routes currently offered by Petra – Jeddah, Kuwait City and Erbil – are deemed as the most likely to be started in the initial batch of routes. Complimenting these would be Dubai which offers the highest market potential due to the fact that it is 63% larger in terms of weekly seats than the #2 market of Jeddah, and it would seem that Jordan is able to designate a second carrier on the city pair. The ability to add a second carrier from the Jordanian side and the fact that Air Arabia and Air Arabia Egypt already serve the Saudi city of Riyadh, makes it another ‘likely’ service.
[h=2]The ‘unlikely’ suspects[/h]Cairo has been deemed as ‘unlikely’ purely because the airline may be unable to gain designation on the city pair as Royal Jordanian and Royal Falcon already operate from the Jordanian side. However if Air Arabia Jordan was permitted to fly to the Egyptian capital city then the fact that Air Arabia already offers flights from Sharjah and Ras Al Khaimah would make this route a ‘likely’ starter.
Beirut, Abu Dhabi, Istanbul and Doha have all been determined as ‘unlikely’ due to the fact that it would seem that only one carrier from each side of the respective bilateral agreements appear to have been designated. While this would seem a reasonable explanation for Istanbul, where our data elves have presumed that Pegasus Airlines would be a willing capacity provider on the city pair (from Sabiha Gökçen rather than Atatürk) but is curiously absent, it is harder to justify on the remaining three routes. However, with no real second tier carrier or LCC present at Doha, Abu Dhabi or Beirut to offer a real alternative to the incumbents of Qatar Airways, Etihad Airways and Middle Eastern Airlines, single airline designation seems to be the answer to the status quo.
[h=2]Rare easyJet route failure – Gatwick to Amman[/h]The same cannot be said of London-Amman market, which must permit a second carrier, as easyJet did offer a London Gatwick to Amman service until May last year. However given the LCC’s failure to make the city pair work, London has been classified as ‘unlikely’ as a potential route for Air Arabia Jordan. The Levant nation was indeed one of just two country markets ‘lost’ by easyJet last summer, as the LCC also dropped Norway (Bergen) from its Gatwick network too.
The mysterious inclusion of Yemenia Yemen Airlines on the Amman to Beirut route is due to the fact that the carrier currently offers a twice-weekly Sanaa-Amman-Beirut service. However, having tried to book the Amman-Beirut sector on the airline’s website, fares were unavailable, so it is most likely that Yemenia does not have traffic rights on the city pair.
It is also interesting to note that Royal Jordanian currently serves 11 of the top 12 routes above and is understandably the carrier that will feel the impact most from the arrival of Air Arabia Jordan, given its position as the #1 carrier in Amman. Also noteworthy are the positions of Petra, the #3 carrier at the airport, as well as Air Arabia, which is also inside the top 12 (both highlighted below in light green).

Source: OAG Analyser for w/c 8 January 2015.​

​

Air Arabia Jordan’s first two A320s will initially be based at Amman from Q1 and the fleet and network will grow as the business dictates. Launch routes will be announced in the coming weeks. Our data elves can’t wait to see if we’re right. If you have any different views on the potential start-up routes to our data elves, then feel free to comment.


anna.aero

 

[kenyaprince]

[h=1]Jordan’s aviation market is set for a major shake-up as Air Arabia Jordan enters[/h]

Jordan’s relatively quiet aviation market is due for a long-awaited shake up, beginning on 18-May-2015, as Air Arabia Jordan starts operations from Amman.
The arrival of the Air Arabia Group’s latest cross-border joint venture comes as flag carrier Royal Jordanian Airlines has posted improving financial results, having entered into a major restructuring in 2014 to pull itself out of two years of heavy losses.
With the Jordanian air travel sector itself still recovering from the fall-out from Arab Spring and ongoing regional instability, the addition of a low-cost player and the rebuilding of the dominant home carrier is set to shake up one of the region’s more stable markets.

[h=2]Air Arabia will realise a long-awaited goal in Jordan[/h]Air Arabia’s intention to add a hub in the Levant dates back better than five years. Firm plans to add a Jordanian hub were first announced in 2010 after Air Arabia reached a cross-border JV agreement with Tantash Group, an Amman-based company with interests in travel and tourism, real estate, financial services and industrial investment.
At the time, Air Arabia had expected to be in a position to launch the Jordanian operation by early to mid 2011. However, the rapid spread of the Arab Spring uprising across sections of North Africa and the Middle East effectively stymied its efforts.
While Jordan remained mostly stable, a number of neighbours and potential major markets such as Syria, Libya, Lebanon, Egypt andIraq faced much more difficult situations. The degeneration of regional security and political ties, combined with spiralling oil prices and difficulty in securing a local air operator’s licence, meant that Air Arabia was force to abandon its Jordanian aspirations. By mid-2011, the carrier announced that it was delaying the launch of the hub indefinitely, as it was “not the right time”.
Four years later, Air Arabia is taking its second run at a Jordanian operation, this time with a different local partner and with a much-improved overall situation. In Jan-2015, the carrier revealed it had acquired a 49% stake in local carrier Petra Airlines, and would makeAmman International Airport its fifth hub, joining Sharjah, Casablanca, Alexandria and Ras Al Khaimah.
The deal means its original Jordanian JV partner Tantash Group quietly excluded. The existing principal shareholder of Petra Airlines, RUM Group, is now acting as Air Arabia’s domestic anchor. At the time of the acquisition, Air Arabia chairman Sheikh Abdullah Bin Mohammad Al Thani said the deal would “enable Air Arabia Jordan to reach its full potential in a shorter time span”. RUM is maintaining a 51% stake, allowing Air Arabia to use Petra Airlines’ AOC and sidestep the prior licensing issue it faced.
Air Arabia Jordan will launch operations on 18-May-2015, with service to Kuwait, one of the most heavily travelled routes to/from Amman. Service to Jeddah, another major route, will follow the next day. Erbil and Sharm El Sheikh will be added on 20/21-May-2015.
Amman International Airport international seats (week commencing 10-May-2015)

Source – CAPA Centre for Aviation and OAG
In keeping with Air Arabia’s relatively measured approach to its cross-border hubs, the new Amman base will be home to just two A320s. Air Arabia’s Sharjah base has 36 aircraft, but its Moroccan base only operates four and its Alexandria hub has just three A320s. With another four A320s due to be delivered this year, the carrier can adjust capacity as it sees fit.
There is plenty of space for Air Arabia Jordan to grow in the Jordanian market. Connections between Amman and other major Middle Eastern and Arab capitals are strong – particularly with the Gulf states - but many smaller regional destinations remain unserved or underserved.
Jordan also has ambitious tourism goals, which cannot be met by Royal Jordanian alone. Foreign carriers have continued to add capacity into the market, but the country’s LCC market is comparatively under-developed, at less than 10% of total capacity, and ripe for growth.
Amman International Airport capacity (week commencing 10-May-2015)

Source – CAPA Centre for Aviation and OAG
[h=2]Royal Jordanian cuts losses, and sets sight on a better year in 2015[/h]As a new player enters the market, national carrier Royal Jordanian Airlines is attempting to recover from its tumultuous 2013 and 2014. The carrier is now in the hands of new CEO Haitham Misto, a 33-year veteran of Royal Jordanian veteran who was appointed in Apr-2015 after five months as interim CEO. Under his leadership, it is embarking on another round of cost cutting and network trimming.
Accompanying this is a major and much needed long-term financial restructuring, deemed necessary to overcome the cumulative impact of the losses of the last few years.
Royal Jordanian financial results (JOD millions): 2007 to 2014

Source: CAPA – Centre for Aviation
The regional political instability has cut into Royal Jordanian’s traffic, much of it the high-yielding business and tourism traffic fromEurope and the Asia Pacific. In 2014, the carrier suffered a 1.8% decrease in passengers numbers. This went against the overall traffic trend in Jordan, with passenger numbers up 9% at Amman International Airport.
Royal Jordanian Airlines passenger traffic

Source: CAPA – Centre for Aviation
Along with this, the airline has faced continued intensification of competition from the Middle East Big Three – Emirates, Etihad Airwaysand Qatar Airways. Royal Jordanian also cut capacity during the year, cutting ASKs by 2.1% and reducing flight numbers.
With some easing of the regional security situation and fuel prices since mid-2014, the pressure on Royal Jordanian’s finances is starting to be relieved. The carrier cut back losses 64% in 1Q2015, reporting a reduced net loss of JOD8.3 million (USD11.7 million) in the period.
The key to the improvement was a 22% reduction in operating costs, which fell to JOD139 million (USD196 million). The fall in oil prices – which have stabilised around USD60 per barrel over 1Q0215 – has been the primary contributor. The introduction of more efficient aircraft during 2H2014 and the reduction in flying hours also helped ease the burden of fuel costs.
Royal Jordanian has also renegotiated all its agreements with service providers since mid-2014, at the same time as introducing a workforce productivity campaign.
[h=2]Turn-around programme starting to show results, but plenty of work to do[/h]Recognising regional over-capacity was driving down yields, the airline implemented a major network pruning and fleet restructuring latter part of 2014. Under a revised network plan, loss making sectors to Alexandria, Colombo, Alexandria, Milan and Accra were shut down over Apr-2014 and May-2014.
These closure were followed by the closure of its Mumbai, Al Ain, Delhi and Lagos sectors in Jul-2014. Sharm el-Sheikh operations were also transferred to Royal Wings, a charter unit occasionally used to test new markets. These come in addition to route suspensions forced on the carrier in Middle East and North Africa in the wake of the Arab Spring. Damascus and Allepo were abandoned in reaction to the Syrian crisis, as were operations to Tripoli, Benghazi, Misrata and Mosul. Flights to Sana’a and Aden have also been suspended since mid-Feb-2015, due to the spread of fighting in the region.
Including temporary suspensions, Royal Jordanian has now cut its network back to 50 destinations, compared to a peak of 59 in 2011.
Almost as damaging has been the collapse in some key traffic feeder markets, particularly Beirut. The city is a valuable source of traffic to and from Europe. To ameliorate the decline, Royal Jordanian cut back its own frequencies and entered a codeshare agreement withMiddle East Airlines. The carrier has also recently signed a codeshare agreement with Oman Air, indicating it may continue to use codeshares to keep its presence up on such routes.
In parallel to the network overhaul, Royal Jordanian has been in the midst of a long-haul fleet renewal. The carrier has taken delivery of five Boeing 787s since Aug-2014, leased from AerCap and CIT Aerospace.
These aircraft were meant to usher in a new period of growth in long-haul connectivity for the airline, but instead they have been prioritised as vehicles to cut costs through reducing fuel burn and allowing Royal Jordanian to shift out older widebodies. While they have been deployed to Chicago, London, Montreal, Bangkok and other long-haul markets, Royal Jordanian is also using the 787s on local routes to Jeddah, Riaydh, Dubai and Doha.
The carrier retired its four leased A340-200s and a single A330 in late 2014. The new Dreamliners are configured with 267 seats - 23 in ‘Crown’ premium class and 244 in economy. This is 13 more than the A340s, which had 24 premium and 230 economy seats, but 16 less than its A330s, which seat 24 in premium and 259 in economy.
[h=2]The tourism drive is seen as helping to boost Royal Jordanian recovery[/h]Visitor numbers to Jordan have fallen from 8.2 million visitors in 2010 to 5.3 million in 2014. Of these, about 2.8 million travelled by air, a fall of almost 40% since 2010. According to Royal Jordanian, this is due in part to the slowing of economic growth in Europe, as well as a perception in risk-averse Asian travel markets of the Middle East being both homogenous and generally unstable. The carrier has noted that tourism from Middle Easter markets has recovered strongly, and intra-regional travel and business travel is also bounding back.
Jordan’s Ministry of Tourism and Antiquities aims to increase tourism receipts by 30% this year, to JOD4.2 billion (USD5.9 billion), as part of wider efforts to get Jordan’s economy moving again. Jordan has a national target increasing travel and tourism’s direct contribution toGDP from 13% to better than 20% by 2024 and Royal Jordanian is seen as a key platform in achieving this.
To help drive a recovery in tourist visits, Royal Jordanian announced in Apr-2015 that it is partnering with local tour operators to offer discounted fares, to encourage more tourist visitors from destinations covered by the airline in the GCC and Europe. The Jordan Tourism Board is also actively promoting local tourism destinations in major European centres, including Berlin, Moscow, Dubai, London and Spain. Tourism promotion in emerging markets in South Asia, Southeast Asia and Africa is also being considered.
The Jordanian government is also doing its part to encourage a recovery in tourism – it has announced plans to removal the JOD40 (USD57) visa fee for certain travellers, as the first in a series of initiatives to make travelling to Jordan “more convenient and affordable for people of all nationalities.” Other proposals include the waiving of the departure tax for all scheduled flights from Aqaba and Amman, and exemptions to tourist attraction entry fees for visitors who stay more than three nights in Jordan.
[h=2]Capital restructuring and raising has been approved by shareholders[/h]Royal Jordanian’s financial problems have slashed the value of its shareholders equity. Share prices have stayed in the doldrums since 2011, rarely getting above JOD0.70 per share, a far cry from their Mar-2008 peak of JOD4.09.
Royal Jordanian Airlines share price: 2008-2015

Source: Amman Stock Exchange
To help turn around this situation and resolve debt issues, Royal Jordanian shareholders voted to approve a JOD200 million (USD282 million) 2015-2019 capital restructuring plan at the start of May-2015. The restructuring will be achieved over multiple phases, allowing the carrier to finance its restructuring out to 2020.
The first phase involves a major capital write-down, almost halving Royal Jordanian’s capital from JOD84.3 million (USD119 million) to JOD46.4 million (USD65.5 million). The move is aimed at writing off part of the JOD39.6 million (USD56 million) in financial losses incurred in 2014. The carrier plans to complete the capital reduction during 2015.
This will be followed by three separate capital increases. Implementation of the first, of JOD100 million (USD141 million), will start in 2015. The remaining two increases, encompassing another JOD100 million (USD141 million), will follow out to 2019.
The board has not yet decided on the method it will use to execute the capital raising. Three options are under consideration: Seeking a capital injection from the government and or shareholders with 10% or greater ownership; seeking financing from other investors, potentially through a public offering, and; conduction a private offering open to all shareholders.
All options remain open and the carrier may decide to go with any, or even all, of these. The Jordanian Government, which remains the largest shareholder with its 26% strategic stake, has already pledged to aid the carrier with the capital restructuring. However, it was reportedly delays in approval for a JOD50 million (USD71 million) state capital injection that resulted in the resignation of Royal Jordanian chairman and CEO Nasser al-Lozi in 2014.
Royal Jordanian's other major shareholders are Mint Trading Middle East Limited (19%) and the Jordanian Public Institution for SocialSecurity (10.7%). All three retain seats on the carrier’s nine-member board.
[h=2]Brightening outlook for Jordanian aviation[/h]With a new carrier entering the market, Royal Jordanian’s financial situation improving and traffic at Amman continuing to grow, Jordan‘s aviation sector in Jordan is in is best position since the onset of the Arab Spring.
Amman International Airport traffic growth 2009 to 2014

Source: CAPA – Centre for Aviation
While problems with regional security persists – particularly in nearby Syria and Iraq – the situation in Jordan is improving. The IMF notes that the regional conflicts are “resulting in disruptions to trade routes, less tourism, a hesitant investment sentiment, high costs to accommodate refugees, and pressures on the quality of public services”, but economic growth in Jordan is “holding up” and the business environment is stable.
With just two A320s, the entry of Air Arabia Jordan into the market will have a limited impact, although the presence of a new domestic LCC with a highly visible brand and price-point competition should drive down fares out of proportion to the increase in available capacity and destinations. Air Arabia is making a modest start, but the opportunity is there for significant expansion, linking Africa, the Middle East and Europe.
A new domestic competitor will also incentivise Royal Jordanian to continue its own transformation. The national carrier has been in a holding pattern for the last three to four years, although not one of its own devising.
An airline turn-around and capital rebuilding is not a simple affair, particularly when government ownership is involved, and it will be another 6 to 12 months before it is clear whether its latest efforts have generated results.



CAPA

 

[kenyaprince]

A new era of low-cost aviation in the Levant began today as the first Air Arabia Jordan flight departed its base at Queen Alia International Airportin Amman. The airline’s inaugural flight to Kuwait City was marked by a ceremony attended by senior executives from the airline, the Jordanian aviation industry and member of the press.
Inaugural flight 9P 301 departed Amman QA International Airport today at 12:00 pm local time and was received upon arrival by officials at Kuwait International Airport. Air Arabia Jordan will also launch its services to Jeddah, Erbil and Sharm El Sheikh on May 19th, 20th and 21st respectively. The new airline will offer customers comfort, reliability, and value for money air travel from and into The Hashemite Kingdom of Jordan.
In addition to increasing international connectivity for people living in Jordan, Air Arabia Jordan aims to support the on-going development of the local economy by bringing more tourists and business people into the Kingdom. It will also create a significant number of skilled jobs in the fast-growing aviation sector.
“The Kingdom’s newest carrier provides Jordan-based passengers with cost-effective options to travel across the region while offering excellent value-for-money opportunities for regional travellers to visit Jordan” said Riad Khashman, Chairman of Air Arabia Jordan. “We thank the local authorities for their continuous support and presence today; we are confident that being a national Jordanian carrier based in Amman, Air Arabia Jordan will playan important role in supporting the on-going economic growth and tourism development of Jordan.”
Commenting on the launch of flights, Adel A. Ali, Group Chief Executive Officer of Air Arabia, said: “Jordan is a country full of potential with its steady economy and historical attractions. Therefore, the Kingdom’s travel and tourism growth is a key driver forits sustainable economic development. Today marks the start of a new era of value air travel for people in Jordan and across the Levant. We are confident that Air Arabia Jordan will complement and positively contribute to the overall all aviation growth from and into the Kingdom.”
In turn, Kjeld Binger, Chief Executive Officer of Airport International Group – the Jordanian company responsible for the rehabilitation, expansion and operation of Queen Alia International Airport (QAIA)- stated, “At QAIA, establishing new routes is at the forefront of our priorities, especially given their capacity togenerate jobs and service contracts, thus positively impacting the national economy at large. We are pleased that Air Arabia Jordan has chosen QAIA as its newest hub, which consequently will create healthy competition that will inevitably spur innovation and market growth within the Jordanian aviation industry.”
The newly established carrier is managed by Air Arabia Group and will operate a fleet of new Airbus A320 aircraft equipped with the world’s most spacious economy seat pitch.
Earlier this year, Air Arabia announced the establishment of its fifth international hub in Jordan following the acquisition of a 49 per cent stake in Petra Airlines with its principle shareholder RUM Group maintaining a 51 per cent stake. The new partnership has led to the creation of Air Arabia Jordan, the Kingdom’s new low cost carrier (LCC). Queen Alia International Airportis Air Arabia’s fifth global fixed-based operation, following Sharjah and Ras Al Khaimah in the UAE, Alexandria in Egypt, and Casablanca in Morocco.
Air Arabia, listed on the Dubai Financial Market, is the largest low cost carrier (LCC) operator in the MENA region. The carrier began operations in October 2003 from its main hub at Sharjah International Airport in the UAE. It has since grown to serve more than 100 destinations, spanning Europe, the Middle East, Africa and Asia from four international hubs in the UAE, Morocco and Egypt.
Founded in 2002 and listed on the Amman Stock Exchange, RUM Group is one of Jordan’s leading travel and transport provider providing wide range of hospitality and tourism services across theHashemite Kingdom of Jordan.

Air Arabia