Capital A Partners With Bahrain To Establish Aviation Hub For Global Growth
Capital A Berhad signed a Letter of Intent (LOI) with Bahrain's Ministry of Transportation and Telecommunications. This agreement aims to establish Bahrain as AirAsia's hub in the Middle East, fostering a significant connection between Asean and a rapidly expanding aviation region. The partnership is set to enhance aviation and economic cooperation, opening new avenues between Bahrain and the Asean region.
The LOI outlines plans for collaboration in airline operations, cargo logistics, maintenance, and talent development. AirAsia intends to launch flights from Malaysia, Thailand, the Philippines, and Indonesia to Bahrain over the next five years. These flights will connect further to Europe and the United States. By 2030, AirAsia plans to operate over 25 daily flights via Bahrain, transporting more than 20 million passengers within five years.
Tony Fernandes, CEO of Capital A, expressed enthusiasm about this venture: "This partnership is a game-changer. With our aviation restructuring soon to be complete, both Capital A and AirAsia are stepping into another bold and disruptive chapter of global growth, and Bahrain will be a powerful launchpad for us in the Middle East."
The collaboration is expected to contribute approximately BHD 3 billion ($8 billion) to Bahrain's economy. It will also support over 100,000 jobs across the aviation sector. A talent development programme aims to train Bahraini nationals for roles such as pilots, crew members, engineers, and ground staff. Over 1,000 hires are targeted in the first year alone.
Dr. Shaikh Abdulla bin Ahmed Al Khalifa commented on the partnership's significance: "The ambition of Bahrain to diversify the economy according to Economic Vision 2030 gets another boost from this partnership with Capital A and AirAsia."
Asia Digital Engineering (ADE), Capital A's Maintenance arm, plans to build a state-of-the-art facility in Bahrain. This facility will include hangars and workshops capable of servicing both narrow and wide-body aircraft. It aims to provide advanced training programmes for Airbus and Boeing fleets while setting new efficiency benchmarks.
This facility will help local airlines maximise aircraft uptime by delivering fast maintenance turnaround times. ADE's commitment underscores its intent to make Bahrain a centre of engineering excellence in the Middle East.
Teleport, Capital A's logistics division, plans to position Bahrain as its primary gateway beyond Asia for the first time. Dedicated freighters will be based in Bahrain to enhance connectivity with Europe, Africa, and CIS regions. This move aims to expand Teleport’s international network while boosting e-commerce flows between Asia and other regions.
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