The low-cost subsidiary of Lebanon’s Middle East Airlines is set to start operations in June 2027 with a network connecting Beirut to regional and European cities including Dubai and Copenhagen.Fly Beirut will make its debut with a fleet of five Airbus A320 aircraft, Middle East Airlines’ chairman Mohamad El Hout told The National at the International Air Transport Association's annual general meeting in Rio de Janeiro, Brazil.The new budget airline will fly to cities including Dubai, Istanbul, Paris, Copenhagen, Berlin, Amsterdam and Dusseldorf, he added. “We remain on track for plans next year to open the low-cost carrier Fly Beirut. it will be in June,” Mr El Hout said.In November 2025, the airline's chairman announced plans for the low-cost arm to launch in 2027, without specifying a date. Middle East Airlines, whose parent company is the Central Bank of Lebanon, has a strong hold on flights in and out of the country. Lebanon’s sizeable diaspora, as well as regular travellers to and from the country, have long complained about its high prices.Lebanon’s flag carrier was the only commercial carrier to continue operating out of Beirut's Rafic Hariri International Airport when Israel intensified attacks on the country in 2024. The airline continues to operate during the current war with Israel, albeit with a reduced flight schedule.Impact of warAsked about the challenges of operating in the current conditions, the airline chairman said it was relatively easier compared to the war in 2024 when Beirut airport was targeted.“We learnt from September 2024 when Israel began a wider war against Lebanon. That was harder for us because it was a new experience, because they carried out strikes around the airport and we didn’t know what was going to happen. “We had US assurances that the airport would remain outside the targeted areas, but there were strikes around the airport and the whole country,” Mr El Hout said.“But we were able to carry out our operations successfully in co-ordination with the Lebanese government and the minister of transport of the time. We overcame this phase, and we offered significant services to the Lebanese and to the foreign embassies that were relying on the airport remaining open and that Middle East Airlines would continue operations.”The latest round of fighting between Israel and Lebanon began on March 2, when Hezbollah launched rockets into Israel in support of Iran. The Israelis and the US had started bombing Iran two days earlier. Israel responded by sending troops into southern Lebanon, supported by air strikes. The Israeli offensive has so far killed more than 3,500, wounded 10,000 and displaced well over a million.“This year when the war started, we have experience, and we know who to communicate with, and the strikes around the airport were farther and lighter than in 2024,” Mr El Hout said. “So 2026 is easier, and this is clear from the fact that many Arab airlines have returned to serving Beirut.”Nevertheless, Middle East Airlines has reduced its flight schedule during the past three months of conflict, he added. In March and April, it was cut by around half. In May it was down 40 per cent, and now it is 20 per cent less. In July, the flight schedule is also set to be down by 20 per cent.“We are a small and agile company, so if conditions improve we can quickly add more flights,” he said.New routesMiddle East Airlines will open new routes in Europe this summer. The airline will start flying to Berlin and Amsterdam at the end of June, and Amsterdam in July, Mr El Hout said.Despite the challenging operating conditions, the carrier will continue taking deliveries of aircraft. Airbus will start handing over A330 Neo jets in September. The deliveries are running behind schedule and were originally due at the beginning of this year, he said. These will replace the airline's older A330s.Middle East Airlines will also take delivery of its first A321 XLR in November, which it will use to open new destinations in Africa, Mr Al Hout said. It is looking at several routes on the continent, including Kinshasa, he added.Play00:29Qlayaat Airport reopens air traffic after 36 yearsThe airline will continue to grow from its hub in Beirut and currently has no plans for a base in Lebanon’s second civilian airport in Qlayaat, he said. The government inaugurated the Rene Mouawad Airport, in the country's north-west, on June 6, and it is expected to open to the public within weeks. “Until now we have not decided to fly from Qlayaat airport, but it’s a very important step for Lebanon, and we wish them success,” Mr El Hout said. “It will be a good thing for the Lebanese economy and for development of the north.”The Qlayaat airport is about 100km north of Beirut. close to the Syrian border in the impoverished region of Akkar.Meanwhile, plans are under way to build a second terminal at Rafic Hariri International Airport. The $500 million terminal will have capacity for five million passengers, and the government is preparing terms for the project, Mr El Hout said.“We have indicated to the Lebanese government our readiness to be involved in the project, even with capital,” he said.The carrier is facing the double whammy of the war and higher jet fuel prices. Iata predicts that airlines in the Middle East will incur a net loss of $4.3 billion this year, from a profit of $7.2 billion in 2025, due to exposure to the Iran war. The conflict has led to flight cancellations, operational disruptions and higher fuel prices that are raising operational expenses.