Emirates says Dubai's announcement to set up a new airline will result in the formation of a new company that will operate a low-cost airline model with its own brand and identity.

Although the new airline will be initially supported by Emirates during the set-up period, it will not be part of the Emirates Group.

HH Sheikh Ahmed bin Saeed Al-Maktoum, chairman and CEO of Emirates Airline and Group, has been appointed by the government as chairman of the new low-cost airline. Ghaith Al Ghaith, executive vice president commercial operations worldwide at Emirates, has been appointed CEO of the new entity.

Initially the new airline will operate regionally within the GCC area and surrounding countries.