Tony Fernandes: AirAsia fares will have to go up, no two ways about it
AirAsia founder and current Capital A Tan Sri Tony Fernandes has seeming hinted at an upcoming increase in ticket prices for the low cost carrier, amidst current geopolitical tensions in the Middle East.
According to Bernama, Fernandes stated that AirAsia won’t be cancelling any flights soon despite rising oil prices. However, travelers may have to fork out more as these higher oil prices will lead to AirAsia adjusting its fares. The businessman also added that these fare increases won’t be as high as other airlines, as AirAsia can absorb part of the rising cost due to decreasing flight capacity from Middle Eastern carriers.
“We will not be cancelling flights as demand is good. We are doing our best to keep fares as low as possible, but we will require support from other parts of the aviation ecosystem.
Fare will have to go up, there is no two ways about it, but our fares will increase much less than others,” – Tony Fernandes, Capital A CEO
Fernandes called for collective efforts across the industry to help combat the current situation, and that the burden shouldn’t be solely on the aviation sector. Instead, he calls for fuel companies, airports and other parts of the supply chain to help out. The tycoon was also optimistic about the current situation, citing the Covid-19 pandemic as a greater challenge that the industry nonetheless came out of stronger.
Separately, Capital A also announced former CIMB Group CEO Effendy Shahul Hamid as its new deputy chief executive. This followed their move to sell AirAsia to AirAsia X that completed back in January 2026. Capital A itself is currently fighting to exit PN17 status, with Fernandes claiming that Capital A will be coming out of PN17 ‘very soon’.
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