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No frills Qatar Airways? Not yet 7, April 2010

Posted by thegulfblog.com in Qatar.
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The CEO of Qatar Airways has said that whilst the company has finalised a plan to launch a low-cost regional carrier under Qatar Airway’s umbrella, until the market picks up again such a venture will not be launched. Exactly when the situation will look rosy enough for Qatar to launch a no-frills, cheaper airline is unclear. Not only is the economic recovery of the region materialising slowly but there are arguably underlying structural weaknesses in economies in the region, notably in Dubai, which may yet jeopardise growth. Moreover, with Emirates, Etihad, Qatar Airways and Gulf Air all vying to act as regional and international hub airlines, competition is exceedingly fierce. Also in the no-frills sector there is a lot of competition with Kuwait based Jazeera and Wataniya and Air Arabia, Air Bahrain and Fly Dubai based further down the Gulf.

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