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

Finance secretary Ralph G Recto recently met with Capital A chief executive and AirAsia founder Tony Fernandes to discuss the matter whilst both were at the recently-concluded World Economic Forum in Davos, Switzerland.

Should AirAsia push through with its plan, the upcoming  MRO facility is expected to create more jobs and position the Philippines as a regional hub for aviation services.

What’s in it for AirAsia?

On the other hand, putting such a facility in the Philippines would enable AirAsia to meet its need for better aircraft availability.

This is a considerable advantage, given the aftermath of the global aviation supply chain issue which led to a lack of spare parts and insubstantial maintenance.

Through AirAsia’s proposed MRO hub, the potential of flight cancellation or suspension due to aircraft issues may be significantly reduced.