Europe's Airbus has landed a major aircraft order from Indonesian budget carrier Lion Air, sources familiar with the matter said, breaking the grip of its U.S. rival Boeing at one of the world's fastest-growing airlines.

The multi-billion-dollar deal is set to be announced on Monday at a ceremony witnessed by French President Franciois Hollande, the sources said.

Lion Air announced a record 201-plane order from Boeing worth $21 billion at list prices in front of U.S. President Barack Obama in late 2011, prompting European efforts to capture part of Indonesia's spectacular aviation growth.

France said earlier Hollande would meet Airbus Chief Executive Fabrice Bregier on Monday to celebrate "a major industrial deal," but his office declined further comment.

French newspaper Les Echos reported on its website that Lion Air would buy over 200 Airbus aircraft. Airbus declined comment.

(Reporting by Tim Hepher, Ingrid Melander, Yann Le Guernigou)