Dubai's ruler issued a law on Monday stipulating the government will more-than-double budget carrier Flydubai's capital to Dh500 million ($136.1 million). The airline competes with Sharjah-based Air Arabia and Kuwait's Jazeera Airways.

The decision increases the government-owned airline's capital from Dh220 million provided by the government in 2008 when the carrier was founded, the government's media office said in a statement.

Flydubai, the emirate's first low cost airline, started commercial flights in June last year. It has a fleet of eight new Boeing 737-800 NG aircraft and operates to 17 operational destinations. Four more will be operational by the end of this month.-Reuters