Etihad Airways (EY, Abu Dhabi International) has confirmed that requisite government and regulatory approvals, consent and permissions sanctioning the strategic partnership between Air Serbia (JU, Belgrade) and the Emirati carrier, have now been obtained.

On August 1 2013, the Government of Serbia signed a strategic, long-term agreement with Etihad Airways, and unveiled a USD200million plan to revitalise Air Serbia's predecessor, Jat Airways (Belgrade).

The president and chief executive officer of Etihad Airways, James Hogan, said that as a result of the confirmation of approvals, his airline's initial loan to Air Serbia of USD40million will now be converted to equity.

“I am pleased to confirm Etihad Airways is now the shareholder of 49 per cent of Air Serbia. This investment represents an important partnership with the Government of Serbia, as we work together to build Air Serbia into the leading airline in the region.”

In light of the development, Akbar al Baker has revealed that his airline, Qatar Airways (QR, Doha Hamad International), had also been offered the chance to invest in Jat Airways only to pass it up.