Vietnam-based low-cost carrier VietJet has announced it has reached an agreement with the government of neighboring Laos to enhance air transport links and connectivity between the two countries.
The plans covered under the terms of the agreement will see the airline expand air connectivity in Laos and will “bring affordable flight options, quality air services to Laos, and promote Laotian and international tourism in the country,” says the carrier. The agreement also aims to drive economic and social development, enhance trade and tourism connectivity, and promote a cultural exchange between Vietnam and Laos.
The announcement of the deal took place in the Laos capital of Vientiane and was attended by Vietnam’s President To Lam, along with the President of Laos Thongloun Sisoulith, plus high-ranking dignitaries of both countries.
Specifically, the cooperation agreement will see VietJet collaborate with the Department of Civil Aviation of Laos to implement aviation-related projects and further expand air transport activities in Laos. These projects are expected to create up to 2,500 new jobs in the aviation sector across the country.
The airline also plans to establish a new Maintenance Repair Overhaul (MRO) facility in Laos with a new VietJet Aviation Academy to oversee the training of the new workforce following international aviation standards. In return, as the airline’s partner, the Department of Civil Aviation of Laos will provide administrative, legal, and facility support, and coordination with other agencies to facilitate the projects’ execution.
Vietnam is currently one of Laos’ largest investors and trading partners, with 255 active investment projects in Laos totaling US$5.5 billion. The projects focus on the industries of transport, tourism, plus science and technology which all promote trade exchanges, sustainable development, and “a shared prosperity of Laos, Vietnam, and the region,” says the airline.
VietJet commenced operations in December 2011 and became the country’s second private airline to offer domestic services within the country where national carrier Vietnam Airlines dominates. The airline is owned by Sovico Holdings, HDBank, other organizational investors, and individual stakeholders.
The airline’s fleet currently comprises 85 aircraft, including 78 A320 family narrowbodies plus seven A330-300 wide-bodied jets. The carrier flies to points within Vietnam as well as international services to Australia, China, Singapore, Malaysia, Thailand, South Korea, Hong Kong, Myanmar (Burma), Japan, Indonesia, India, Cambodia, and Taiwan. The airline also holds aspirations to add destinations in Russia, Europe, and other long-haul cities in the coming months.
