Saudia, Riyadh Air Sign Strategic Memorandum of Cooperation

Saudia and Riyadh Air announced the signing of a memorandum of understanding as part of a comprehensive agreement. (Asharq Al-Awsat)
Saudia and Riyadh Air announced the signing of a memorandum of understanding as part of a comprehensive agreement. (Asharq Al-Awsat)
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Saudia, Riyadh Air Sign Strategic Memorandum of Cooperation

Saudia and Riyadh Air announced the signing of a memorandum of understanding as part of a comprehensive agreement. (Asharq Al-Awsat)
Saudia and Riyadh Air announced the signing of a memorandum of understanding as part of a comprehensive agreement. (Asharq Al-Awsat)

Saudia and Riyadh Air announced the signing of a memorandum of understanding as part of a comprehensive agreement that includes operating flights using the shared code system, within joint efforts to better serve Saudi Arabia’s vision and ambitions in the aviation sector.

In a statement on Tuesday, the two companies said the MoU was the first major agreement between the carriers, and would lay solid foundations for a range of bilateral initiatives and agreements in the future.

In addition to enhancing the aviation sector in the Kingdom, this cooperation provides a comprehensive and diverse package of benefits for passengers travelling internationally and domestically within Saudi Arabia, including a broader range of destinations and services.

As part of the agreement, passengers on both carriers will be able to benefit from a wide range of advantages, explore code-share services and follow flights.

The deal will see the merging of the two carriers’ loyalty program so that travelers will be able to earn points or credits when traveling on code-share services operated by one of the two carriers.

Saudia CEO Capt. Ibrahim Koshy said: “We are very proud to form this strategic partnership with Riyadh Air, a cooperation that we consider to be an important turning point in the process of supporting the aviation sector. We are working to unify efforts to serve guests to and from the Kingdom, and we continue to move forward to achieve our ambitions to make a positive change in the aviation sector in general.”

Riyadh Air CEO Tony Douglas stated: “Riyadh Air and Saudia will play a significant part in the growth of travel tourism within the Kingdom and so having the national carriers working side-by-side is the best way to accelerate and manage this growth.”

He continued: “We are confident that Riyadh Air will raise the bar in air travel and working in cooperation with Saudia will help us achieve this as we prepare for take-off in 2025.”



Washington Urges Israel to Extend Cooperation with Palestinian Banks

A West Bank Jewish settlement is seen in the background, while a protestor waves a Palestinian flag during a protest against Israel's separation barrier in the West Bank village of Bilin in 2012. (AP)
A West Bank Jewish settlement is seen in the background, while a protestor waves a Palestinian flag during a protest against Israel's separation barrier in the West Bank village of Bilin in 2012. (AP)
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Washington Urges Israel to Extend Cooperation with Palestinian Banks

A West Bank Jewish settlement is seen in the background, while a protestor waves a Palestinian flag during a protest against Israel's separation barrier in the West Bank village of Bilin in 2012. (AP)
A West Bank Jewish settlement is seen in the background, while a protestor waves a Palestinian flag during a protest against Israel's separation barrier in the West Bank village of Bilin in 2012. (AP)

The United States on Thursday called on Israel to extend its cooperation with Palestinian banks for another year, to avoid blocking vital transactions in the occupied West Bank.

"I am glad that Israel has allowed its banks to continue cooperating with Palestinian banks, but I remain convinced that a one-year extension of the waiver to facilitate this cooperation is needed," US Treasury Secretary Janet Yellen said Thursday, on the sidelines of a meeting of G20 finance ministers in Rio de Janeiro.

In May, Israeli Finance Minister Bezalel Smotrich threatened to cut off a vital banking channel between Israel and the West Bank in response to three European countries recognizing the State of Palestine.

On June 30, however, Smotrich extended a waiver that allows cooperation between Israel's banking system and Palestinian banks in the occupied West Bank for four months, according to Israeli media, according to AFP.

The Times of Israel newspaper reported that the decision on the waiver was made at a cabinet meeting in a "move that saw Israel legalize several West Bank settlement outposts."

The waiver was due to expire at the end of June, and the extension permitted Israeli banks to process payments for salaries and services to the Palestinian Authority in shekels, averting a blow to a Palestinian economy already devastated by the war in Gaza.

The Israeli threat raised serious concerns in the United States, which said at the time it feared "a humanitarian crisis" if banking ties were cut.

According to Washington, these banking channels are key to nearly $8 billion of imports from Israel to the West Bank, including electricity, water, fuel and food.