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AirAsia launches new subsidiary, AirAsia Cambodia, enhancing ASEAN connectivity

AirAsia Cambodia
From left to right: Vissoth Nam, CEO of AirAsia Cambodia; His Excellency Dr. Mao Havannall, the Minister in Charge of State Secretariat of Civil Aviation; Tony Fernandes, CEO of Capital A at the commemoration ceremony of AirAsia Cambodia at Phnom Penh.

AirAsia Cambodia begins operations, aiming to strengthen ASEAN’s aviation network and boost regional economic growth starting May 2024.

PHNOM PENH, CAMBODIA – AirAsia announced the commencement of its seventh airline, AirAsia Cambodia (flight code KT), marking a significant step forward not just in the country’s aviation landscape but also in strengthening ASEAN as a vibrant aviation hub.

AirAsia Cambodia is poised to commence its operations on Thursday, 2 May 2024, following the handover of its Air Operator’s Certificate (AOC) on Tuesday. With an initial fleet of two Airbus A320s, the airline will operate from the bustling hub of Phnom Penh International Airport (PNH), connecting travelers to the iconic cities of Siem Reap and Sihanoukville, and beyond through hubs in Kuala Lumpur and Bangkok.

The start of the new airline represents an important milestone for the AirAsia Group as it recently announced its “ONE Airline” strategy. AirAsia Cambodia is now well-positioned to become a formidable force in low-cost air travel across the country and beyond, leveraging the group’s core strength to drive customer and operational excellence for sustained growth and profitability.

Tony Fernandes, CEO of Capital A said: “Today is a historic day for AirAsia as we open a new chapter in Cambodia whose story of perseverance, resilience, and growth deeply inspires us. We wish to express our sincere gratitude to the Secretariat of State Civil Aviation (SSCA) of Cambodia for awarding the Air Operator’s Certificate to AirAsia.

“The wealth of opportunities present in Cambodia, a country with huge economic potential is truly compelling given its strategic location within the ASEAN region. Cambodia’s economic growth trajectory and increasing integration into the global economy position it as a key player in the region’s development landscape.

“AirAsia’s expansion into Cambodia underscores our profound grasp of the ASEAN market. Cambodia’s dynamic population of 17 million and its growing youth segment present a substantial consumer base and an opportunity to cater to domestic demand whilst contributing to its economic progress. As AirAsia Cambodia prepares for takeoff, we are excited to leverage these opportunities to a broader ecosystem across our Capital A lines of business. From our digital businesses, such as online booking app AirAsia MOVE to fintech BigPay, logistics Teleport, and Capital A Aviation Services Group, including our MRO service provider Asia Digital Engineering, we look forward to integrating a wide range of services that will strengthen our capabilities of offering unrivaled services to the Asean community.”

Vissoth Nam, CEO of AirAsia Cambodia said: “AirAsia has a long history in Cambodia and we are proud to chart a new milestone not only for the airline industry in the region but for the country today. 

“AirAsia Cambodia is a testament to Cambodian ingenuity and dedication, tailored to serve the needs of our people which is above and beyond mere transportation. With our roots firmly planted in the country’s soil, we are committed to uplifting communities, empowering entrepreneurs, and fostering economic growth with a multiplier effect.

“The enhanced air connectivity has also contributed to the steady growth of the Asean tourism industry at an annual average rate of almost 10 percent in the last decade. As AirAsia Cambodia joins the fray, we are poised to further expand on this growth while unlocking new experiences and opportunities for millions of Cambodians at the best value and world’s best services.

“As a homegrown airline, we are also deeply humbled by the support received from Samdech Moha Borvor Tiphadei Hun Manet, the Prime Minister of the Kingdom of Cambodia for our establishment, reaffirming our shared commitment to providing accessible travel options for Cambodians. With his invaluable support, we stand poised and confident in our ability to connect communities, facilitate economic exchange, and foster cultural ties across the region. His endorsement further strengthens our resolve to catalyze positive change and prosperity within ASEAN and beyond starting with Cambodia.”

As a group, AirAsia serves a total of six routes into Cambodia from Kuala Lumpur and Bangkok, carrying 1.3 million guests into the kingdom historically. AirAsia Cambodia will be announcing its international destinations in the next quarter following a careful assessment of demand and market dynamics.

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George, in his capacity as an intern, diligently oversees the flow of news, assists in the publication of content, and delves into the strategies of social media distribution. He is currently pursuing his studies in Business Administration at the Athens University of Economics and Business.

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