AirAsia Group Chief Executive Officer Tony Fernandes said he was upbeat on the Indian civil aviation market and his airline will continue to expand its network while strengthening the Indian management team.
Reiterating the airline’s request to the government to reconsider the 5/20 rule for the aviation sector, he said if this provision was relaxed, the number of flights will go up significantly.
The global aviation industry is keenly watching India and seeking to play a role in its growth story by offering connectivity to new locations. But the 5/20 norm seems to be one big hurdle which the government needs to have a fresh look. The sooner, the better, he said.
Speaking at the India Aviation 2016, which got underway today at Begumpet Airport in Hyderabad, Fernandes said this 5/20 restriction has taught AirAsia a thing or two. Pushed to a corner, this has actually shown the huge potential the domestic market has as one connects more destinations and taps into new ones.
AirAsia India, the low-cost Malaysian airliner has partnered with the Tata Sons, is currently operating with six planes and plans to add two more A330 within couple of months, enabling it to connect new locations.
He said AirAsia is in the process of strengthening its management in India, including hiring a new CFO.
On some recent reports about the foreign ownership, he said it is surprising to note that people raise this instead of actually seeking to improve connectivity and a make a difference to air travellers.