Publish Date : 04-Nov-2014
The Philippines has signed new air service agreements with Malaysia, Hong Kong, and Ethiopia, aiming at increasing tourism and also to further develop international air travel with foreign nations, generating new opportunities for air carriers to launch more flights between the respective countries. Following months of delays, an agreement was recently inked between the Philippines and Malaysia. Originally, negotiations between the two countries were scheduled for April 2014, which were however postponed after the disappearance of Malaysia Airlines Flight MH370. Further, in August, talks were cancelled after another Malaysia Airlines jet crashed over the Ukraine after being shot down.
As per the new agreement, the two countries have decided to double capacity between Manila and Kuala Lumpur from existing weekly 4,820 seats to 9,640. Carmello Arcilla, Executive Director of the Civil Aeronautics Board, stated that the design of this new agreement aims at addressing the growing demand between Kuala Lumpur and Manila. Also, unlimited traffic rights have been granted between all points in the two countries with the exception of Manila, representing a significant increase over the 2,000 seat weekly restriction which was imposed earlier. According to Arcilla, the new agreement with Malaysia is in place of the last one signed in 2011. Arcilla adds, “The new agreement will allow our airlines to expand on the routes between the Philippines and Malaysia, especially since the market continues to grow and our airlines have been fully utilizing their entitlements.”
AirAsia Zest has been building demand between the two cities as it contributed towards traffic in to its parent company's main hub in Kuala Lumpur from various Philippines cities including Manila, Clark, Kalibo, and Cebu. At present the airline operates beyond the limits permitted in the 2011 agreement. With the temporary rights AirAsia will be able to fly more passengers to Malaysia. The new air pact between Hong Kong and the Philippines will significantly increase the number of flights between the two countries allowing 30,000 seats weekly, almost double the earlier allocation of just 15,000 seats. Arcilla adds, “It is hoped that the new agreement will usher in a new era of growth in the bilateral aviation relationship between the Philippines and Hong Kong, especially that the irritants that stood in the way of growth have simmered down.”
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