CAAP confirmed on Thursday that the budget carrier complied with its directive to settle the obligations earlier today, subject to standard reconciliation procedures.
“Effectively, as of today, they’re current,” a government official told InsiderPH.
Deadline met
The payment removes the immediate risk of a June 2 cease-and-desist order that could have barred AirAsia from operating at airports under CAAP’s control if it failed to make payments by June 6.
CAAP had previously said AirAsia still owed P271.94 million as of May 20 despite reducing liabilities from over P800 million going back years and cited in a final demand notice issued last March.
The regulator acknowledged the airline’s cooperation and commitment to resolving the matter through continued engagement and coordination with authorities.
AirAsia responds
In a separate statement on Thursday, AirAsia Group rejected reports claiming Philippines AirAsia was being grounded, calling such reports false and insisting that all flights continue to operate normally.
The airline said it remains committed to the Philippine market, highlighting its role in expanding access to affordable air travel and supporting tourism growth.
“AirAsia has long championed affordable travel and will continue to stand firmly against any development that harms consumers or restricts access to air connectivity,” said Tony Fernandes, co-founder and advisor of AirAsia Group.
“AirAsia carries almost seven million guests in the Philippines annually and our commitment to the Philippines is absolute. We are deeply invested in the country, its people and its future. For over a decade, we have played a key role in democratising air travel, making flying accessible to millions of Filipinos who may not otherwise have had the opportunity to travel by air,” he added.
Crisis averted
The settlement also removes the need for contingency plans that had been discussed in recent days.
Industry sources previously told InsiderPH that regulators had held preliminary discussions with Cebu Pacific and Philippine Airlines about mounting rescue flights and accommodating affected passengers if AirAsia operations were disrupted.
Officials had also considered phased enforcement beginning at selected CAAP-controlled airports to minimize disruption to travelers.
AirAsia PH eyes expansion
“Looking ahead, we are incredibly invested in the development of new airport infrastructure across the country, including Ninoy Aquino International Airport (MNL) and Mactan-Cebu International Airport (CEB), which will unlock greater opportunities for growth, improve connectivity, enhance operational efficiency and enable us to lower costs even further,” Fernandes said.
“As we expand our fleet and aircraft orderbook to become the first narrowbody global low-cost network carrier, we intend to deploy more aircraft into our operations in the Philippines. These developments will allow Philippines AirAsia to expand our network, offer even more competitive fares and continue delivering greater value to Filipino travellers,” he added.
—Edited by Miguel R. Camus