Mr Al-Mulhim said that the national flag carrier is undertaking the expansion of its 105-strong passenger fleet to capitalise on growth opportunities within the region.

Saudi Arabia’s air market has grown significantly in the recent period, as greater local wealth created by high petroleum prices, a Government-led tourism promotion campaign and the advent of low cost carriers have all stimulated significantly higher levels of domestic demand.

The flag carrier, long an under-performer on the regional stage, has recently taken steps in the direction of reform, a process that was given a boost on 27-Aug-07 when the Government approved the carrier’s proposal to convert its six main business units – the catering, air cargo and ground services, training maintenance and passenger divisions – into companies.

The new enterprises are expected to undergo partial flotation transactions a few years after their legal formation.