Lebanon’s MEA plans to launch a low-cost airline and build a second terminal at Beirut airport to support growing passenger demand and expand its network. AFP
Lebanon’s MEA plans to launch a low-cost airline and build a second terminal at Beirut airport to support growing passenger demand and expand its network. AFP
Lebanon’s MEA plans to launch a low-cost airline and build a second terminal at Beirut airport to support growing passenger demand and expand its network. AFP
Lebanon’s MEA plans to launch a low-cost airline and build a second terminal at Beirut airport to support growing passenger demand and expand its network. AFP

Lebanon's Middle East Airlines considers low-cost wing as growth enters 'new phase'


Deena Kamel
  • English
  • Arabic

Lebanon’s Middle East Airlines (MEA) is studying setting up a low-cost carrier to serve destinations in the Middle East and Europe, as the country plans to build a second terminal in Beirut airport.

The budget airline would be a wholly owned subsidiary of the wider MEA group but fully independent, Mohamad El Hout, MEA chairman, told The National.

“We are thinking of preparing within the next two years to launch a low-cost airline under MEA, starting with four aircraft,” he said. “This depends on finding aircraft we can receive, the search is ongoing.

“A lot of airlines now have a low-cost carrier … several destinations require low-cost service, rather than the configuration we have in our fleet now.”

The airline has studied the market and sees demand for low-cost flights to destinations in Europe and the Middle East, he said, pointing to Germany, Denmark and Egypt as examples.

Lebanon's flag carrier was a standout in the airline industry when it became the only remaining commercial carrier to continue operating out of Beirut airport amid intensified Israeli attacks in the country last year.

Entering a 'new phase'

However, MEA's chairman said the airline is now turning a corner and embracing a new era of growth.

“We were in one phase, and now we're moving into a new phase,” he said, pointing to the UAE lifting a travel ban on Emirati citizens flying to Lebanon.

While Israeli attacks in Lebanon are still ongoing, they are “targeted and precise” rather than wider military operations.

“They do not impact the significant growth in passenger traffic that we are seeing this month,” Mr El Hout said.

The airline is forecasting year-on-year growth of 10 per cent to 15 per cent in the second half of 2025, he added.

In terms of its fleet, MEA has an order book of nine aircraft. Six of these are scheduled to be delivered in 2026, two in 2027 and one in 2028.

MEA expects to receive four of the extra-long-range Airbus A321 XLR aircraft next year.

“The narrowbody aircraft has the capability to fly for nine hours and this will allow us to open new markets, in Africa particularly,” he said. It will also receive two Airbus A330 Neo wide-body aircraft to replace older jets.

The airline is also seeking four A320 Neos but the market supply for jets is “tight” and Airbus' backlog stretches to five years, he said, adding that the plane lessors have some availability.

Once these A320 Neo narrowbodies are secured, the airline can proceed with its plans for a low-cost arm, Mr El Hout said.

Like the rest of the airline industry, MEA is facing delayed aircraft deliveries amid industry-wide supply chain bottlenecks.

Airbus planes that it will receive next year should have been delivered in 2023, Mr El Hout said.

“There are frustrations but my duty is to find solutions,” he said.

New terminal at Beirut airport

Plans are also under way to construct a second terminal at Rafic Hariri International Airport, MEA's home hub.

The master plan, which is being developed by Dar Al Handasah in Beirut, calls for a second terminal with a capacity of five million passengers, he said.

The project may be developed through a public-private partnership (PPP).

“The Lebanese government is preparing a book of terms for the project and MEA is very interested in this new terminal, especially as it can be a dedicated terminal for the operations of the airline, its partners and SkyTeam [alliance member airlines],” he said.

“It will be equipped and operated in a very modern way, with state-of-the-art technology for processing passengers without the need for passports, which is what we see in other new airports.”

The master plan for the second terminal calls for eight piers or “fingers” to accommodate narrow-body aircraft and three piers for wide-body aircraft, making a total of 11 piers, he said.

The master plan is complete and the next step will include issuing a request for proposals.

The second terminal will provide sufficient capacity to meet Lebanon's air travel requirements for several years ahead.

“We expect that phase one of this project will be enough for the next 10 to 15 years,” Mr El Hout said.

“If there is more stability, and more movements, there is a plan for phase two to accommodate 8 million passengers.”

The project is estimated to cost between $400 million and $500 million, the MEA chairman said.

“There is interest, not just from foreign investors, but Lebanese as well,” he said. “It's a successful project. We've had discussions with several people and we already see the interest.”

Last month, Lebanese Prime Minister Nawaf Salam announced that the master plan for a second international airport in the country will be unveiled within a month, pledging to open the project to foreign investors.

“The master plan for the new airport, the Rene Mouawad Airport in Qlayaat, will be presented in the coming weeks – in less than a month,” he said in May.

Speaking on Tuesday at a conference in downtown Beirut, the prime minister said: “We are advancing plans to rebrand and launch a second international airport. The second airport could play a strategic role in facilitating cargo movement and affordable travel.”

He was speaking at a conference organised by the Chartered Institute of Arbitrators (Ciarb) called “Rebuilding Lebanon: Investment framework, business opportunities, and dispute resolution”.

With additional reporting from Jamie Prentis in Beirut

What the law says

Micro-retirement is not a recognised concept or employment status under Federal Decree Law No. 33 of 2021 on the Regulation of Labour Relations (as amended) (UAE Labour Law). As such, it reflects a voluntary work-life balance practice, rather than a recognised legal employment category, according to Dilini Loku, senior associate for law firm Gateley Middle East.

“Some companies may offer formal sabbatical policies or career break programmes; however, beyond such arrangements, there is no automatic right or statutory entitlement to extended breaks,” she explains.

“Any leave taken beyond statutory entitlements, such as annual leave, is typically regarded as unpaid leave in accordance with Article 33 of the UAE Labour Law. While employees may legally take unpaid leave, such requests are subject to the employer’s discretion and require approval.”

If an employee resigns to pursue micro-retirement, the employment contract is terminated, and the employer is under no legal obligation to rehire the employee in the future unless specific contractual agreements are in place (such as return-to-work arrangements), which are generally uncommon, Ms Loku adds.

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Creator: Mike White

Starring: Walton Goggins, Jason Isaacs, Natasha Rothwell

Rating: 4.5/5

In Praise of Zayed

A thousand grains of Sand whirl in the sky
To mark the journey of one passer-by
If then a Cavalcade disturbs the scene,
Shall such grains sing before they start to fly?

What man of Honour, and to Honour bred
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For though a Thousand urge him to retreat
He'll laugh, until such counsellors have fled.

Stands always One, defiant and alone
Against the Many, when all Hope has flown.
Then comes the Test; and only then the time
Of reckoning what each can call his own.

History will not forget: that one small Seed
Sufficed to tip the Scales in time of need.
More than a debt, the Emirates owe to Zayed
Their very Souls, from outside influence freed.
No praise from Roderic can increase his Fame.
Steadfastness was the Essence of his name.
The changing years grow Gardens in the Sand
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But Hearts are not rebuilt, nor Seed resown.
What was, remains, essentially Alone.
Until the Golden Messenger, all-wise,
Calls out: "Come now, my Friend!" - and All is known

- Roderic Fenwick Owen

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7.05pm: Handicap (TB) $68,000 (Turf) 2,410m, Winner: Star Safari, William Buick, Charlie Appleby

7.40pm: Meydan Trophy – Conditions (TB) $50,000 (T) 1,900m, Winner: Secret Protector, William Buick, Charlie Appleby

8.15pm: Al Maktoum Challenge Round 2 - Group 2 (TB) $293,000 (D) 1,900m, Winner: Salute The Soldier, Adrie de Vries, Fawzi Nass

8.50pm: Al Rashidiya – Group 2 (TB) $163,000 (T) 1,800m, Winner: Zakouski, William Buick, Charlie Appleby

9.25pm: Handicap (TB) $65,000 (T) 1,000m, Winner: Motafaawit, Sam Hitchcock, Doug Watson

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If you go:
The flights: Etihad, Emirates, British Airways and Virgin all fly from the UAE to London from Dh2,700 return, including taxes
The tours: The Tour for Muggles usually runs several times a day, lasts about two-and-a-half hours and costs £14 (Dh67)
Harry Potter and the Cursed Child is on now at the Palace Theatre. Tickets need booking significantly in advance
Entrance to the Harry Potter exhibition at the House of MinaLima is free
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Top tips

Create and maintain a strong bond between yourself and your child, through sensitivity, responsiveness, touch, talk and play. “The bond you have with your kids is the blueprint for the relationships they will have later on in life,” says Dr Sarah Rasmi, a psychologist.
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UAE Falcons

Carly Lewis (captain), Emily Fensome, Kelly Loy, Isabel Affley, Jessica Cronin, Jemma Eley, Jenna Guy, Kate Lewis, Megan Polley, Charlie Preston, Becki Quigley and Sophie Siffre. Deb Jones and Lucia Sdao – coach and assistant coach.

 
Surianah's top five jazz artists

Billie Holliday: for the burn and also the way she told stories.  

Thelonius Monk: for his earnestness.

Duke Ellington: for his edge and spirituality.

Louis Armstrong: his legacy is undeniable. He is considered as one of the most revolutionary and influential musicians.

Terence Blanchard: very political - a lot of jazz musicians are making protest music right now.

Sukuk explained

Sukuk are Sharia-compliant financial certificates issued by governments, corporates and other entities. While as an asset class they resemble conventional bonds, there are some significant differences. As interest is prohibited under Sharia, sukuk must contain an underlying transaction, for example a leaseback agreement, and the income that is paid to investors is generated by the underlying asset. Investors must also be prepared to share in both the profits and losses of an enterprise. Nevertheless, sukuk are similar to conventional bonds in that they provide regular payments, and are considered less risky than equities. Most investors would not buy sukuk directly due to high minimum subscriptions, but invest via funds.

First-round leaderbaord

-5 C Conners (Can)

-3 B Koepka (US), K Bradley (US), V Hovland (Nor), A Wise (US), S Horsfield (Eng), C Davis (Aus);

-2 C Morikawa (US), M Laird (Sco), C Tringale (US)

Selected others: -1 P Casey (Eng), R Fowler (US), T Hatton (Eng)

Level B DeChambeau (US), J Rose (Eng) 

1 L Westwood (Eng), J Spieth (US)

3 R McIlroy (NI)

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THE CLOWN OF GAZA

Director: Abdulrahman Sabbah 

Starring: Alaa Meqdad

Rating: 4/5

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Starring: Cate Blanchett, Kevin Hart, Jamie Lee Curtis

Director: Eli Roth

Rating: 0/5

Updated: June 11, 2025, 1:05 PM`