Armenia to Launch National Low-Cost Airline as Agreement Signed with Air Arabia

The agreement signed between the Armenian State Interests Fund and Air Arabia marks an important step towards the establishment of a national airline. This was announced today, July 14, at Zvartnots International Airport by Armenia's acting Prime Minister Tigran Avinyan during a ceremony for the signing of the agreement to create a national airline.

“This is a strategically significant investment program that creates great opportunities for the development of aviation in Armenia,” said Tigran Avinyan.

Attending the signing ceremony of the agreement for the establishment of a new national airline were Acting Prime Minister Tigran Avinyan and the Chairman of the Board of Air Arabia, Sheikh Abdullah bin Mohammed Al Thani from the United Arab Emirates. The document was signed by David Papazyan, the head of the Armenian State Interests Fund (ANIF), and Adel Abdullah Al Ali, the CEO of Air Arabia.

Tigran Avinyan noted that the signed agreement will establish an independent joint company to be based at Zvartnots International Airport. As a budget carrier, the new national airline will contribute to the growth of tourism and stimulate the development of related sectors. Collaborating with Air Arabia, one of the largest companies in the Middle East and one of the most financially efficient airlines in the world, adds significant appeal to the program.

“The establishment of a new national carrier will expand affordable and quality air travel opportunities for the citizens of Armenia. I am confident that this will be a successful project, and its results will be visible in a very short time,” emphasized the acting Prime Minister.

Tatevik Revazyan, the head of Armenia's Civil Aviation Committee, expressed great joy, noting that Armenia will finally have a national low-cost airline. She emphasized that the national airline is being created by some of the best professionals in the aviation sector worldwide.

Revazyan remarked that creating a successful airline is challenging due to the intense competition in the industry. Therefore, they have attracted top specialists who share their vision.

David Papazyan, the head of the Armenian State Interests Fund (ANIF), clarified in response to a journalist's question that the national airline will not seek any kind of privileges, but at the same time, it will be the only company to have the designation of “national carrier.”

When asked whether the state’s share in the company would be above or below 50%, David Papazyan replied that the Armenian package would be “50+%,” but the decision-making package would be in the hands of Air Arabia. “We have negotiated with our partners for a long time and concluded that the decision-making package should be in the hands of the Arab company. That was my initiative,” explained the head of ANIF.