Dubai-based International AirFinance Corporation (IAFC) is seeking a $1bn loan to finance aircraft for Saudi Arabian Airlines (Saudia), Bloomberg has reported.

The finance is for 18 Airbus aircraft including ten A330-300s and eight A320-200s.

The planes are due for delivery in 2017.

IAFC could opt for a 12-year amortising loan, or a bond or sukuk issuance, Bloomberg adds.

IAFC appointed Dubai’s Quantum Investment Bank and Palma Capital as exclusive arrangers for the leasing deal in 2015. It includes a total of 30 Airbus A320-200s and 20 A330-300s for Saudia, which received its first delivery in August 2016.

They will arrange debt and equity finance for the planes.

Saudia is planning to expand its fleet from 119 at the beginning of 2016 to 200 by 2020.

In May 2015, IAFC syndicated a $400m Islamic finance deal for five Airbus A330-200s, to be leased to Kuwait Airways.