Saudi budget carrier flyadeal says domestic market close to pre-COVID levels

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Updated 07 October 2021
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Saudi budget carrier flyadeal says domestic market close to pre-COVID levels

  • The airline is now operating 19 domestic routes to 14 cities, and has one international service from Riyadh to Dubai

Saudi Arabia's domestic air travel market is witnessing a sharp recovery, with passenger numbers now close to pre-pandemic levels, said the chief executive of state-owned budget carrier flyadeal on Thursday.

The kingdom, with a population of about 30 million, is by far the largest domestic air travel market in the Gulf, where most countries are small and only have international services.

"The domestic market is pretty much not far off being back to 100 percent. It's around the 90 percent mark," Con Korfiatis told Reuters in an online interview.

Flyadeal, a subsidiary of state carrier Saudi Arabian Airlines, resumed flights within Saudi Arabia in late May 2020 after services were suspended that March due to the COVID-19 pandemic, and had itself returned to full capacity by October.

The airline is now operating 19 domestic routes to 14 cities, and has one international service from Riyadh to Dubai.

More international flights are scheduled to launch this year, and there are plans to operate more such flights from Riyadh and start international services from Jeddah and Dammam.

Korfiatis said Flyadeal is due to take delivery between now and the end of the year of 4 more aircraft from its 2019 order for 30 Airbus (AIR.PA) A320neo jets. It has received 3 so far.

There are 15 A320 jets in the fleet as of today, mostly leased 'CEO' models which Korfiatis said would likely be phased out when their leases expire around 2025.

The airline will also likely next year exercise purchasing options for an additional 20 A320neos, though it says no decision has been made just yet.

"We need more aircraft," Korfiatis said.


Work suspended on Riyadh’s massive Mukaab megaproject: Reuters

Updated 27 January 2026
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Work suspended on Riyadh’s massive Mukaab megaproject: Reuters

RIYADH: Saudi Arabia has suspended planned construction of a colossal cube-shaped skyscraper at the center of a downtown development in Riyadh while it reassesses the project's financing and feasibility, four people familiar with the matter said.

The Mukaab was planned as a 400-meter by 400-meter metal cube containing a dome with an AI-powered display, the largest on the planet, that visitors could observe from a more than 300-meter-tall ziggurat — or terraced structure —inside it.

Its future is now unclear, with work beyond soil excavation and pilings suspended, three of the people said. Development of the surrounding real estate is set to continue, five people familiar with the plans said.

The sources include people familiar with the project's development and people privy to internal deliberations at the PIF.

Officials from PIF, the Saudi government and the New Murabba project did not respond to Reuters requests for comment.

Real estate consultancy Knight Frank estimated the New Murabba district would cost about $50 billion — roughly equivalent to Jordan’s GDP — with projects commissioned so far valued at around $100 million.

Initial plans for the New Murabba district called for completion by 2030. It is now slated to be completed by 2040.

The development was intended to house 104,000 residential units and add SR180 billion to the Kingdom’s GDP, creating 334,000 direct and indirect jobs by 2030, the government had estimated previously.

(With Reuters)