Malaysian low-cost airline AirAsia has pledged to invest $1 billion for the expansion of its operations in the Philippines, according to media reports. Presidential Communications Secretary Cheloy Garafil said Capital A Berhad Chief Executive Officer Tony Fernandes made the commitment in a roundtable meeting with the president of the Philippines who was in Malaysia.
“The Philippines is continuously reaping the fruit of the recently concluded three-day state visit of President Ferdinand R. Marcos Jr. to Malaysia after Air Asia’s Tan Sri Anthony Francis Fernandez pledged to invest $1 billion for the expansion of their operations in the Philippines,” Garafil said in a statement.
Trade Secretary Alfredo Pascual said Fernandez signed a letter of intent, indicating expansion plans for his business in the Philippines, specifically for aviation and aviation maintenance, repair and overhaul operations, Air Asia super app, and logistics operations in the country.
Fernandez said Capital A Berhad has to bounce back and restructure its businesses to get back to the pre-pandemic levels. “We’re excited about what we can do in the Philippines and really stimulate small, medium enterprises. We think we can bring a lot of value to the Philippines on logistics,” Fernandez was reported to have said. “So, over the next few years, we think we’ll invest about $1 billion into the Philippines. We have about $300 million so far. We want to grow our aircraft from 23 to 50, including wide-body aircraft. We are just applying for the license now,” he added.