UAE-based low cost airline Air Arabia will begin flights on its new Egypt-based carrier in June after it received an operating certificate from Egyptian authorities, the company said on Saturday.

Air Arabia, the Arab world's largest listed airline, said that commercial flights on Air Arabia Egypt would commence from the Egyptian Mediterranean coastal city of Alexandria to Khartoum and Kuwait.

Air Arabia is continuously expanding to offer a wider segment of customers the best value for money choice for air travel, Sheikh Abdullah Bin Mohammad Al Thani, Chairman of Air Arabia Group said in a statement.

We are confident that Air Arabia 'Egypt' will pursue the success path that our hubs in the UAE and Morocco have followed, by complementing our ever growing network of destinations.

Air Arabia, set up approximately six years ago, already has a hub flying from Morocco as it looks to diversify away form increased pressure in its home market. It had previously said it aimed to launch operations in Egypt by mid-April.

Air Arabia had said in August it planned to set up a new hub between its base at Sharjah in the United Arab Emirates and North Africa to diversify its revenues and boost its catchment area.

Air Arabia said the new carrier, starting with two aircraft, would serve the Europe, Middle East and Africa (EMEA) markets, and represents Air Arabia's third hub after the UAE and Morocco.

Air Arabia faces growing competition in the Gulf Arab region from rivals including Kuwait's Jazeera Airways and Dubai-owned flydubai, but also from bigger carriers struggling to cope with a sharp drop in international passenger travel.

(Writing by Cynthia Johnston)