MoF: No Commitment To Provide Financing Support To AirAsia
KUALA LUMPUR, Oct 19 (Bernama) -- The Finance Ministry (MoF) has not made any commitment to provide financial assistance to AirAsia Bhd, whether in the form of guarantees, financing or injection of public funds.
The ministry said applications for government support from any companies will be considered based on the interests of the country and the people, fiscal sustainability and the protection of public funds, in accordance with prevailing laws and procedures.
It also said the government will not comment on any speculation or figures reported by the media to avoid affecting the market and the interests of employees, customers and other stakeholders of the companies concerned.
“The government will continue to monitor the developments closely, while prioritising the people’s interest,” it said in a written reply to the Dewan Rakyat, published on the Parliament’s website.
The MoF was responding to a question from Datuk Seri Wee Ka Siong (BN-Ayer Hitam) on whether the government is considering providing any guarantees, loans or public funds to AirAsia.
The ministry said the government has taken note of issues raised concerning AirAsia, including the losses reported in its latest quarterly financial results.
The airline had mainly attributed its losses to the spike in jet fuel prices due to the West Asia conflict.
“The government regularly engages with players across the aviation industry as part of its monitoring efforts, to seek input from industry players, technical experts and other parties, as it has also done for other economic sectors affected by the West Asia crisis,” it said.
On Sept 19, Bernama reported that AirAsia had not held any discussions with the government on a ‘bailout’ and remained confident in its liquidity position and business sustainability
-- BERNAMA