An announcement was made today by the flydubai, UAE’s second budget carrier, to finance contract worth $180 million (Dh660 million) at the Dubai Airshow. 

By the end of the year the six aircraft will be permanently financed after this deal. Two aircraft which were received in March by the airline on lease would be covered by the financing. 

The initial contract with Mcquarie AirFrance, which is the global aircraft leasing company, is worth of $80 million and a medium term sale and leaseback contract. The other contract, which is the maiden for the airline from within the country and also the first Islamic financing deal, is with Dubai Islamic Bank. 

A five-year contract, worth $80 million as well, at list price, is an Ijara agreement. Gaith Al Gaith, chief executive of flydubai said, “With these two agreements we have now succeeded in securing backing from some of the biggest names in aircraft financing from home and abroad.”

By next year, the carrier would be taking deliveries of seven aircraft.

The CEO told that in October 2010, the next financing would have to be arranged and the company has plenty of time to organize it. 

The airline will keep on increasing its network with many more detonations in a 4.5-hour radius from its base at Dubai International Airport.