Kuwaits Ministers Council has approved the request of low-cost airline Jazeera Airways for land at the Kuwait International Airport (KIA) to build on a dedicated passenger terminal and car park building.
The planned investment for the buildings is estimated at KD15mn ($46m), according to local media.
Construction work is expected to last 15 months.
The project is part of Jazeera Airways initiative to create better travel experience for its customers. Apart from the terminal and car park, projects underway include a remote check-in facility, inflight broadband internet and a business-class lounge.
The dedicated terminal aims to help decongest KIA, which has been operating beyond capacity for years.
An estimated $6bn is understood to have been allocated for the expansion and upgrade of the KIA.
A $4.3bn contract to build a new terminal, Terminal 2, was awarded in May to a team of Turkeys Limak Holding and local Kharafi National.
The new terminal will take six years to complete, which has necessitated the proposal to build a temporary passenger support building. The technical and commercial offers for this facility have been opened and reviewed, with the contract expected to be awarded before the end of 2016.