Etihad, Air Arabia to Launch Abu Dhabi Low-Cost Carrier

October 16, 2019

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UAE airlines Etihad Airways and Air Arabia are setting up a low cost carrier to cater for the growing leisure travel segment in the region.

Etihad, Air Arabia to Launch Abu Dhabi Low-Cost Carrier

Based at Etihad’s Abu Dhabi hub, the new budget airline will be called Air Arabia Abu Dhabi.

“Abu Dhabi is a thriving cultural hub with a clear economic vision built on sustainability and diversification,” Etihad group chief executive Tony Douglas said.

“Travel and tourism play a vital role in the economic growth of the capital and the UAE. By partnering with Air Arabia and launching Abu Dhabi’s first low-cost carrier, we are serving this long-term vision.”

Air Arabia group CEO Adel Al Ali said the joint venture airline will serve the growing low-cost travel segment locally and regionally and capitalize on the expertise the parent airline groups will provide.

Air Arabia Abu Dhabi will be Etihad’s first airline investment since a series of investments earlier this decade including a stake in failed Italian carrier Alitalia.