AirAsia inks government fares agreement with DBM

The Philippine government has tapped budget airline Philippines Air Asia as official carrier for domestic trips.

The agreement provides discounted airfares for government officials and staff while providing a steady stream of business for Air Asia Philippines.

The so-called government fares agreement was signed May 2 between Philippines Air Asia and the Procurement Service-Department of Budget and Management (PS-DBM).

Under the deal, AirAsia will provide discounted airfares to all official government domestic flights. Moreover, this will come with free web admin fees, free 20-kilogram baggage for corporate full fares, rebooking fees at no cost on selected packages and bundled services.

“It is our duty to get the most out of the limited public resources entrusted to us,” Budget secretary Benjamin E. Diokno said in a statement.

All airline transactions will be made via the Procurement Service website.

“We are your partners in nation building and for the men and women in public service we will go the extra mile to give you and every Filipino traveler what we all truly deserve: seamless connectivity, world-class service and affordable fares,” said Dexter Comendador, CEO of AirAsia Philippines.

AirAsia Philippines corners 10% of the domestic market.