Saudi Arabia’s aviation sector has witnessed significant advancements this year, marked by a notable 20% increase in passenger travel, as announced by Abdulaziz Al-Duailej, President of the General Authority of Civil Aviation (GACA). This impressive growth follows a record-breaking 26% surge in the previous year, bringing the total number of passengers to an unprecedented 111 million. This achievement is largely attributed to the Kingdom’s robust aviation connectivity program, which expanded connectivity by 48% in 2023, adding 148 new destinations worldwide. Low-cost carriers have also played a crucial role, significantly increasing their international market share since the pandemic.
During his keynote speech at the Future Aviation Forum 2024, Al-Duailej proudly launched GACA’s first aviation report, which underscores the sector’s substantial contributions to the Saudi economy. “This forum, with its diverse and insightful topics, will undoubtedly foster growth and collaboration within the sector as we lay the groundwork for the safe and sustainable development of the advanced air transport sector,” stated Al-Duailej. He highlighted the remarkable transformation of the aviation industry, which has surpassed any other industry in history, with the number of flights increasing from zero to over 37 million last year.
Al-Duailej outlined several key objectives for the aviation sector, including expanding the number of destinations to over 250, boosting cargo capacity to 4.5 million tons annually, and increasing passenger traffic to 330 million. He emphasized the implementation of numerous economic reforms aimed at creating an attractive investment environment for the sector, thereby unlocking significant economic potential. The National Aviation Strategy, heavily integrated with other national strategies, is expected to drive this growth.
First day of Future Aviation Forum 2024: major agreements and deals
The Future Aviation Forum 2024, held under the patronage of the Custodian of the Two Holy Mosques King Salman bin Abdulaziz Al Saud, commenced with significant achievements on its first day. Organised by GACA in Riyadh from May 20-22, the forum witnessed the announcement of 47 memoranda of understanding (MoUs), agreements, and deals worth $19 billion. These agreements spanned aviation services, aircraft purchase orders, cargo and logistics services, advanced air navigation, human resources development, and information technology, among others.
The forum saw participation from over 30 ministers, 77 leaders of civil aviation authorities, CEOs of airlines worldwide, and 5,000 aviation industry experts and leaders from more than 120 countries. The discussions focused on growth, investment, airports, air connectivity, supply-chain management, resilience, human capital, and sustainability. Minister of Transport and Logistic Services and Chairman of GACA Board of Directors, Saleh bin Nasser Al-Jasser, highlighted the Kingdom’s efforts to provide enormous opportunities for the private sector and create thousands of jobs for its citizens.
GACA President Abdulaziz bin Abdullah Al-Duailej announced the successful outcomes of the forum, which included numerous commercial deals and initiatives aimed at enhancing global connectivity. Significant agreements included aviation services agreements with Mozambique, Eswatini, Cambodia, and Brunei Darussalam, and a major deal between Saudi Arabian Airlines (Saudia) and Airbus for the purchase of 105 aircraft of the A320-Neo and A321-Neo models.
The GACA also launched the first edition of the Kingdom’s aviation sector report, highlighting the sector’s contribution to the Saudi economy, amounting to $53 billion and providing 958,000 jobs across various regions. Additionally, a roadmap for general aviation was issued, aiming to develop the business aviation and private aircraft sector in the Kingdom, with a goal of increasing its size tenfold by 2030.
Second day of Future Aviation Forum 2024: exceeding expectations
The second day of the Future Aviation Forum 2024 continued to surpass expectations, with the signing of 102 MoUs, agreements, and deals worth over SAR75 billion. These agreements covered various sectors of civil aviation, including aviation services, aircraft purchase orders, cargo and logistics services, advanced air mobility, human resources development, information technology, maintenance, repair, and overhaul.
The forum, which featured over 30 ministers, 77 leaders of civil aviation authorities, CEOs of airlines worldwide, and 7,000 aviation industry experts and leaders from more than 120 countries, focused on human capabilities, the future of the sector, collaboration opportunities, civil aviation organization networks, sustainability, innovation, technology, and business opportunities.
In his speech, Advisor at the Royal Court and Supervisor General of the King Salman Humanitarian Aid and Relief Center (KSrelief), Dr. Abdullah bin Abdulaziz Al Rabeeah, highlighted the crucial role of civil aviation in providing humanitarian aid during natural disasters and conflicts. He proposed the establishment of a “Global Humanitarian Aviation Council” to facilitate and protect humanitarian aid transported by air routes, emphasizing that all programs must be protected under international humanitarian law.
Overall, the Future Aviation Forum 2024 has set a new benchmark for the aviation industry in Saudi Arabia, showcasing the Kingdom’s commitment to fostering growth, innovation, and sustainability in the sector. The forum’s success, marked by significant agreements and initiatives, underscores Saudi Arabia’s leading position in the global aviation landscape and its ongoing efforts to create a more connected and prosperous future for the industry.
