Capital A explores Bahrain as Middle East aviation, engineering and logistics hub

Capital A Berhad, the parent company of AirAsia, has signed a Letter of Intent (LOI) with Bahrain’s Ministry of Transportation and Telecommunications to establish Bahrain as its Middle East hub. This strategic move is designed to accelerate Capital A’s global expansion and deepen aviation and economic ties between the ASEAN region and the Middle East.

Key Highlights of the Partnership
- Multi-Hub Vision:
AirAsia plans to operate over 25 daily flights between Bahrain and ASEAN megahubs by 2030, targeting over 20 million passengers in five years.

- New Airline Operations:
The LOI includes exploring a Bahrain-based Air Operator Certificate (AOC) to launch narrowbody flights into the Middle East, Central Asia, Africa, and Europe.

- Cargo & Logistics:
Teleport, Capital A’s logistics arm, will base dedicated freighters in Bahrain to expand connectivity across the Middle East and beyond.

- Engineering Excellence:
Asia Digital Engineering (ADE) will build a state-of-the-art MRO facility in Bahrain, training local talent and servicing Airbus and Boeing fleets.

- Talent Development:
A multi-year program will train and employ over 1,000 Bahraini nationals in aviation roles in the first year alone.

Strategic Impact
- Economic Contribution: The initiative is expected to contribute BHD 3 billion (USD 8 billion) to Bahrain’s economy and support over 100,000 jobs.
- Tourism & Connectivity: Enhances Bahrain’s position as a tourism and logistics hub, linking Asia, the Middle East, Europe, Africa, and the U.S.
- Vision 2030 Alignment: Supports Bahrain’s economic diversification goals under its national Vision 2030 strategy.

This partnership marks a bold step in redefining low-cost aviation and creating seamless, borderless travel experiences.