ISTANBUL - Turkish Airlines said on Friday its budget carrier AnadoluJet will begin operating next year under the name of AJet and compete in the global low-cost aviation industry.

AnadoluJet will conduct its operations under the name "AJet Air Transportation Inc" as a wholly-owned subsidiary of Turkish Airlines, starting at the end of March 2024, it said in a statement.

"We fully believe that AJet, with its new name, will become an important part of the low-cost aviation industry on a global scale," Turkish Airlines Chairman Ahmet Bolat was quoted as saying.

AJet will remain based out of Istanbul's Sabiha Gokcen and Ankara's Esenboga airports. The parent company said it plans to operate as eco-friendly and will enter the low-cost market with an innovative perspective.

"By simplifying the services offered and utilizing an economy class configuration, the company aims to reflect the cost advantage in ticket prices, making air transportation services accessible to a broader audience," it said.

(Reporting by Ceyda Caglayan, Writing by Huseyin Hayatsever; Editing by Jonathan Spicer)