Manama: Iran has suggested to Kuwait the formation of a joint airline to boost bilateral cooperation.
The suggestion was made last week during a two-day visit by Iran's parliament speaker Ali Larijani to Kuwait City, a Kuwaiti daily reported.
"Dr Larijani made the suggestion at a meeting with senior Kuwaiti officials. The joint company would be within the cooperation framework between the two countries," Al Rai reported on Sunday.
Under the Iranian proposal, the company would be an equal share partnership between Kuwait and Tehran, with a specific amount of shares offered to Kuwaiti and Iranian nationals.
Iran has several private and public airline companies, but sanctions from the United States prevent Tehran from purchasing most new western made aircraft to update its aging fleet.
Plans to privatise Kuwait's state-run airline are progressing after the government last week endorsed the move. The northern Arabian Gulf country has several privately-owned budget airlines.
