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Egypt cuts airport fees across several governorates

Saudia received $6.75bn in state aid in 2019-2020 - report

The Government of Saudi Arabia funnelled at least USD7 billion into state-owned flag carrier Saudia (SV, Jeddah) in 2019 and 2020, as direct payments and other financial support, according to company documents reviewed by Reuters news agency.

Labelled as “government compensation” such as payments for services, the Ministry of Finance-approved payments include SAR13.6 billion riyals (USD3.63 billion) in 2019 and SAR6.4 billion (USD1.71 billion) in the first half of 2020.

The ministry also accepted a SAR5.3 billion (USD1.41 billion) loan to Saudia from the Public Investment Fund (PIF), a sovereign wealth fund, and converted it into an “equity contribution”, the documents showed.

Asked to comment on the sums, the airline and the ministry said that government compensation can cover a wide range of receivables and services provided, including mandatory flight routes.

Saudi Arabia recently resumed international flights around the world following a lengthy Covid-related lockdown. According to the ch-aviation capacities module, it was operating 2,032 frequencies as of the last week of November, connecting 63 destinations, 26 of them within Saudi Arabia. The...

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Saudia denies claims after lessor sues for $460mn

Saudia (SV, Jeddah) has said it would defend itself against what it called inaccurate claims after Shariah-compliant lessor Alif Segregated Portfolio Company filed a lawsuit against it at the High Court in London.

In the suit, filed in September over alleged non-payment of lease agreements regarding fifty Airbus aircraft, the lessor is seeking at least USD460 million in unpaid leasing and maintenance costs, Reuters news agency reported on October 27 citing court materials.

The International Airfinance-managed Alif Segregated Portfolio Company, which is incorporated as a Cayman Islands company but based in the United Arab Emirates, has also demanded other damages and costs in its complaint against the Saudi flag carrier. It said Saudia failed to pay after seeking to ease the payment schedule during the coronavirus crisis and also allowed “unauthorised and unnotified engine and part swaps.”

The court confirmed to Reuters that a claim had been filed but not yet acknowledged by the defendant. The airline told the news agency in a statement that it meets its contractual commitments and would...