Kuwait-based low-cost carrier Jazeera Airways has said its dedicated passenger terminal at Kuwait International airport will start operating in the second week of May.

According to Rohit Ramachandran, Jazeera Airways CEO, they expect the new terminal to generate revenues primarily through its 2,500 square-metre retail centre starting in June.

The dedicated terminal aims to provide a better experience for the airline’s passengers by avoiding the overcrowded existing main terminal.

The carrier's dedicated terminal has the capacity to handle up to 1.2 million passengers annually.

In addition to the terminal construction, the $46m contract Jazeera Airways awarded to local firm First United Company in 2017 involved the construction of a car park building and the installation of a remote check-in facility and a business-class lounge.

Jazeera Airways reported an operating revenue of KD14.3m in the first quarter of 2018, a 42.7 per cent increase compared to the corresponding period in the previous year.

However, the carrier reported a net loss of KD0.3m during the first three months of the year, about half the figure reported for the same period last year, due to challenges arising mainly from higher fuel costs.

The passenger terminal dedicated to Jazeera Airways will bring to four the total number of terminals operating at Kuwait International by the end of 2018.

The other terminals include the main terminal, which will be replaced by the $4.3bn under-construction Terminal 2 by 2022; the Sheikh Saad al-Abdallah Terminal, a small business aviation terminal, which Flydubai has been using for all Kuwait-bound flights since 2013; and Terminal 4 (T4), which was originally designed to augment the capacity of the existing passenger terminal until Terminal 2 becomes operational.

Kuwait International airport handled 13.7 million passengers in 2017, an increase of 17 per cent compared to 2016, and the volume of its air cargo rose to 241,000 tonnes in 2017, up from 195,500 tonnes in 2016.