Qatar Airways has entered into an agreement with Qatar Islamic Bank for the funding of its newest Airbus A340-600 aircraft, which is due to be delivered to the airline at the end of the month.

The agreement is Qatar Airways’ first under Islamic principles and part of the airline’s committed strategy to diversify its financing options as the company’s fleet size grows.

The new aircraft will be Qatar Airways’ fourth A340-600 and will be used to operate long-haul routes to Asia and North America. It has 266 seats in a three-class configuration of 8 First Class, 42 Business Class and 216 Economy Class. The aircraft features unique facilities such as a dedicated First Class lounge for passengers to unwind and relax.

Qatar Airways Chief Executive Officer Akbar Al Baker signed the agreement with his CEO counterpart at Qatar Islamic Bank, Salah Al Jaidah at the airline’s headquarters in Doha.

“We are pleased to be introducing Qatar Islamic Bank to our group of relationship banks,” said Al Baker. “This is part of Qatar Airways’ funding diversification plans and we hope the agreement we have entered into with Qatar Islamic Bank will be one of many to help drive forward Qatar Airways’ business.”

Salah Al Jaidah added: “The lease-to-own agreement signed between the two parties is the first step towards forging a long-standing strategic partnership with Qatar Airways.”

During the month of March alone, Qatar Airways takes delivery of four brand new Airbus aircraft – including its fourth long-range A340-600 – and launches three routes from Doha to Chennai, Denpasar in Bali and Vietnam’s commercial centre of Ho Chi Minh City.

During the summer, Qatar Airways takes its first steps into the US market with flights to New York and Washington DC, together with Geneva and Stockholm following later this year.

Qatar Airways’ new routes for 2007 will be Chennai, Bali, Ho Chi Minh City, Geneva, New York, Washington DC and Stockholm.

Qatar Airways’ aggressive expansion sees its passenger numbers increase by an average 35 per cent annually. The airline expects to have carried 8 million passengers during the current 12-month financial year, which ends on March 31 – up from 6.3 million during the 2005/06 financial year.