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Government will not interfere in Thai Tiger LCC plans

3-Sep-2010 10:53 AM

Thailand's Prime Minister, Abhisit Vejjajiva, stated the Thai Government has no plans to interfere in Thai Airways' plans to launch LCC, Thai Tiger Airways, in a JV with Tiger Airways (The Nation, 03-Sep-2010). Mr Vejjajiva stated that when his government took office, they were concerned about the flag carriers’ chances of survival, but it has been able to recover. He also commented that the government is now willing to provide support and allow THAI to adapt more flexible operations so that it can better compete with other carriers. Despite the comments, Transport Minister, Sohpon Zarum, stated he was still opposed to the deal, but would not interfere (Bangkok Post, 03-Sep-2010). Thai Airways President, Piyasvasti Amranand, stated the carrier plans to invest approximately USD4.8 billion (THB150 million) over the next five years to improve services and purchase new aircraft. 

Thai Government: “Their next challenge will be to maintain this success. THAI is a state enterprise, and though it serves the government, it must also be competitive as a private firm. This makes THAI's work quite complicated,” Abhisit Vejjajiva, Prime Minister. Source: The Nation, 03-Sep-2010.