AirAsia reaffirms intention to launch airline in Vietnam

AirAsia has signed a Memorandum of Cooperation reaffirming its intention to set up a low-cost carrier in Vietnam with local partners Thien Minh Travel Joint Stock Company (TMG) and InterContinental Hanoi Landmark72 (HAA).Group CEO Tony Fernandes said Vietnam is one of the last remaining countries with a large population it currently does not have a presence in. When the joint venture was first announced last year, AirAsia was "bullish about Vietnam" and remains "incredibly bullish about serving one of the most dynamic, fastest-growing economies in Asia".Fernandes added that the local joint venture will be able to accelerate its network expansion to connect Vietnam to ASEAN and beyond. "We couldn’t be more excited about the prospect of bringing more visitors to this amazing country and delivering true low-cost air travel to 95 million Vietnamese in the near future," he said.Meanwhile, TMG CEO and HAA general director Tran Trong Kien, said the tourism sector has contributed greatly to recent economic development and social progress in the country."Vietnam as a country needs better connectivity to continue this trend and for tourism to reach its full potential. Adding a new airline, especially at this stage and with an experienced operator like AirAsia, is a much needed and welcomed move. This new airline will bring more and better choices to our people in the years to come," he said.AirAsia currently has flights to Hanoi, Ho Chi Minh City, Da Nang, Nha Trang and Phu Quoc.Read also:AirAsia and AirAsia X fined for ads with misleading air ticket pricesAirAsia names Spencer Lee CEO of BIG LoyaltyAirAsia to push discounted airfares via digital and offline platformsAirAsia tipped to pick IPG Mediabrands’ BPN for global media dutiesAirAsia partners Google Cloud to become a travel tech company