The Philippine Department of Finance has announced AirAsia’s plans to establish a maintenance, repair, and operations (MRO) facility in the country.

Finance secretary Ralph G Recto met with Capital A CEO and AirAsia founder Tony Fernandes at the recent World Economic Forum held in Davos, Switzerland to discuss this important project.

If AirAsia goes ahead with the plan, the forthcoming MRO facility is projected to create additional employment opportunities and position the Philippines as a regional hub for aviation services.

What’s in it for AirAsia?

Establishing this facility in the Philippines will help AirAsia enhance aircraft availability, which is crucial given the recent global aviation supply chain disruptions that affected maintenance operations and spare parts availability. This proposed MRO hub holds the potential to significantly reduce flight cancellations or suspensions due to aircraft maintenance issues.