Saudi Arabia unveils big aviation reforms in $100bn investment drive
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Key reforms by GACA include the introduction of competition standards at airports, anti-competitive pricing measures, streamlining the economic license for air transport operations, as well as expanding the qualifying rules for airport operators to help privatise more of kingdom’s airports.
According to GACA, the new economic policy framework is designed to boost competition, create open markets for growth and innovation, increase transparency in commercial relationships and pricing, delivering better resource allocation, investment, and financial sustainability across the sector.
New opportunities for investors and operators will be created through the policy framework by levelling the playing to drive more competition, it added.
License processes for ground handling and air cargo service providers is also being streamlined.
According to GACA, foreign carriers will benefit from streamlining the processes including removal of economic licence requirement for charter flights, thus reducing the cost of doing business.
General aviation operators will benefit from the removal of ‘empty-leg’ restrictions, giving more flexibility when operating international flights to enhance network connectivity. A new certificate will also be introduced to allocate international traffic rights on constrained routes for national carriers to ensure equal opportunities. ■