Flying from Jeddah to Riyadh on a private jet? Here is how Saudi Arabia is becoming a private aviation hub

Dubai: Saudi Arabia is positioning itself as the Middle East’s next major private aviation hub, with luxury jet operators reporting surging demand as the Kingdom opens previously restricted domestic routes to international competition.

Private jet company VistaJet, which has been granted permission to fly domestic routes within Saudi Arabia, says it has seen 32 per cent membership growth in the first half of the year, before the domestic approval was even announced.

"Saudi Arabia is fast approaching" the UAE as a regional hub for international connectivity, according to Ian Moore, VistaJet’s Chief Commercial Officer. "fastest-growing market in that region,” he said. Moore added, "The GCC in general is going to be an important centre point for our company for many years to come."

Vision 2030 drives aviation liberalisation

The surge in private aviation interest stems from Saudi Arabia’s ambitious Vision 2030 economic transformation plan, which includes liberalising the aviation sector to attract foreign expertise and investment.

"The opening up of the region for international flying is part of the goal of 2030 in liberalising the aviation sector," Moore said. "It creates more competition, more innovation. You bring the best in class into your market to help develop that market further.”

The policy shift represents a bold departure from traditional protectionism, with Saudi officials choosing competition over protection of domestic operators.

"Opening up a market to competition from foreign operators is that bold decision," Moore said. "A lot of markets tend to go the other way and try and protect their local market, but you stifle innovation by doing that."

Connecting mega-projects to the world

Saudi Arabia’s massive infrastructure developments, including the futuristic city of Neom and Red Sea tourism projects, are creating new demand for high-end aviation services.

"It's not just flying from Riyadh to Jeddah, but it's also connecting the entire Saudi ecosystem to private aviation, to investment as well, and just making these regions more accessible," Moore said.

Connectivity is crucial for international investors and business leaders visiting these remote yet strategically important developments.

Shift away from aircraft ownership

The Kingdom is experiencing what Moore describes as a "real 180" in attitudes towards private aviation over the past 15 years, with wealthy individuals moving away from aircraft ownership towards flexible service models.

"When I first got into this industry 20 years ago, that was a market that was known for 'you have to own an aircraft'," he said. "People are no longer putting tens and tens of millions of dollars into owning an aircraft that's depreciating every minute you sit on the tarmac."

This shift mirrors global trends towards asset-light consumption, similar to the rise of Uber and Airbnb.

Strong demand

VistaJet has been operating international flights to and from Saudi Arabia for 15 years, serving both Saudi nationals and international companies doing business in the Kingdom.

The company reports strong interest from US and European markets, with "a lot of people that are interested in using us now" for Saudi connections as international business with the Kingdom expands.

"A lot of the connecting of the world financially is happening through Saudi," Moore said, reflecting the Kingdom’s growing role in global commerce.

Tourism potential

While international demand has traditionally been business-focused, Moore sees significant growth potential in leisure travel as Saudi Arabia develops its tourism sector under Vision 2030.

"I think that is a growth opportunity, not just for us, but obviously for the region and for the kingdom itself," he said.

The trend towards combining business and leisure travel - what some call "micro retirement" - suits the Kingdom’s positioning as both a business hub and emerging tourism destination.

The Saudi market development comes as regional competition intensifies, with the UAE maintaining its ,lead but other Gulf states rapidly expanding their aviation sectors.

Moore expects competition to be beneficial for innovation and service standards. "We welcome competition. It’ll only keep spurring us," he said. "Competition helps you innovate."