DUBAI, United Arab Emirates (AP) — Qatar's fast-growing airline is considering starting another air carrier registered in next-door Saudi Arabia.

Qatar Airways said Tuesday that CEO Akbar al-Baker has held talks in the kingdom aimed at setting up an airline there as the market starts to open to new competitors.

Al-Baker says the Saudi market is underserved and is ready for more domestic flights, but he's concerned about high fuel charges and caps on domestic fares.

Saudi Arabia is by far OPEC's largest oil producer and is the Arab world's largest economy. Aviation officials there have said they plan to begin issuing new airline operating licenses later this year.

Qatar Airways and other large competitors in the nearby United Arab Emirates are not allowed to operate domestic flights in Saudi Arabia under existing rules.