Kuwait Airways Becomes State-Owned Shareholding Company
New decree law boosts governance, flexibility, and expansion plans.
Kuwait Airways has been transformed into a wholly state-owned shareholding company under a new decree law aimed at strengthening the national carrier’s governance, operational flexibility and future expansion plans.
Chairman Abdulmohsen Salem Al Fagaan said the change follows Decree Law No. 77 of 2026. The airline will now operate under the Companies Law, giving it a more modern legal structure to support its next phase of development.
He said the new framework reflects the state’s commitment to modernising Kuwait Airways in line with fast changes in the global aviation industry. It will also help improve governance, strategic planning and overall performance.
Al Fagaan said the wider powers under the new structure will make decision-making faster, improve administrative and operational flexibility, and help projects move ahead more quickly. The airline will also be able to respond better to market changes.
The new model will support future plans to acquire or lease aircraft and expand the route network, but these plans will depend on technical and economic studies.
He said the change will also strengthen resource management, bring the airline closer to international corporate governance standards and improve its competitiveness in the regional aviation market.
Al Fagaan said reducing the airline’s accumulated losses will depend on better operations and external factors such as travel demand, fuel prices and global economic conditions. He added that the transformation will take time, but it will support more efficient decision-making, sustainable growth and stronger performance.
He also said Kuwait Airways can only become a leading global carrier through continued fleet modernisation, better service, network expansion, investment in national talent and digital transformation.
He added that success in aviation depends not only on fleet size, but also on passenger experience, operational efficiency and the ability to adapt to industry changes.
AI contributed to the creation of this article.