Insiders say the country’s leading budget carrier is set to ink a wet lease agreement with Flyadeal, the low-cost unit of Saudia, for the use of Cebu Pacific’s aircraft. This will mark the first time ever that a Philippine carrier will lease out its planes to a foreign airline for regular commercial operations.
That’s right. It’s a full 180-degree turn from the usual setup, where local carriers lease aircraft from global operators to cover capacity shortfalls. This time, Cebu Pacific is the one providing the lift... and getting paid for it.
The deal will reportedly cover your classic wet lease package: aircraft, crew, maintenance, and insurance. And sources say there’s a reciprocity clause, too. If Cebu Pacific finds itself short on capacity down the line, it can tap Flyadeal for similar support. Talk about planning ahead.
Industry chatter suggests the timing of the deal isn’t accidental. Cebu Pacific is preparing to launch a new direct Manila-Riyadh service, eyeing the massive overseas Filipino worker market that routinely fills planes on that route. Some observers believe the lease deal could be part of a broader strategic alignment between the two carriers.
It’s also another strong signal that Cebu Pacific is shifting into expansion mode, fueled by optimism over the Philippines' economic momentum. The Gokongwei-led airline has been ramping up both regional and long-haul operations, and this latest move could open the door to deeper partnerships in the Middle East—a market that's long been underserved by local players.
If all goes well, this could be just the beginning of Cebu Pacific’s ambitions taking flight far beyond its home turf.
Senior Reporter
