AirAsia Pledges $1 Billion for Philippines Expansion

Malaysian low-cost carrier AirAsia has pledged to invest $1 billion in expanding its operations in the Philippines, according to Malacaang on Friday.

Capital A Berhad Chief Executive Officer Tan Sri Anthony Francis Fernandes made the commitment during a roundtable meeting with the President in Malaysia, according to Presidential Communications Secretary Cheloy Garafil.

"The Philippines is still reaping the benefits of President Ferdinand R. Marcos Jr.'s recent three-day state visit to Malaysia, after Air Asia's Tan Sri Anthony Francis Fernandez pledged to invest $1 billion in expanding their operations in the Philippines," Garafil said in a statement.

During the meeting, Marcos expressed his gratitude to AirAsia, Asia's fourth-largest airline.

"Thank you very much. "We're all very happy that you see such good prospects for the Philippines," Marcos said.

According to Trade Secretary Alfredo Pascual, Fernandez signed a letter of intent outlining plans for his company's expansion in the Philippines, specifically for aviation and aviation maintenance, repair and overhaul operations, the Air Asia super app, and logistics operations.

Fernandez believes Capital A Berhad must recover and restructure its operations to return to pre-pandemic levels.

"We're excited about what we can do in the Philippines to stimulate small and medium-sized businesses." "We believe we can add a lot of value to logistics in the Philippines," Fernandez told Marcos.