New joint UAE airline venture receives permission to fly amid coronavirus downturn

Apr 23, 2020

Two airlines based in the United Arab Emirates (UAE) received permission to operate a new budget airline amid continued flight restrictions in the Gulf country due to the coronavirus.

Etihad and Air Arabia obtained their air operating license for Air Arabia Abu Dhabi — a joint, independent venture between the two airlines — on April 23, according to Reuters.

The license means Air Arabia Abu Dhabi planes have the legal right to fly from the UAE government. The two airlines will continue to fly independently but will also operate the new airline, which aims to be a “low-cost carrier,” according to an Air Arabia press release.

The CEO of Etihad Aviation Group, which owns Etihad, said the move is encouraging for the future of aviation in the UAE, despite the massive reduction in global travel due to the coronavirus.

“Despite these unprecedented times, today’s announcement is a message of positivity that reflects the strength of the UAE’s aviation industry,” said Tony Douglas, per the release.