PH on open skies: Not yet, Manila congested

MANILA, Philippines – Will the Philippines finally open its capital Manila to more foreign airlines as the region tries to integrate into a single market?

At the World Economic Forum on East Asia on Thursday, May 22, AirAsia chair Tony Fernandes urged the Philippines and its ASEAN neighbors to open up their markets by signing an open skies deal.

“There’s a lot to be done. Many invisible barriers still exist. You can have open skies,” said Fernandes.

The Philippines is willing, according to Finance Secretary Cesar Purisima, but the question is if it will be able to handle more traffic.

“The challenge is congestion in Manila. We need to fix the bottlenecks first… if we want to have more connections,” Purisima told the audience.

“It’s okay to take small steps as long as you continue to take the right direction,” the finance chief added.

In an interview with Rappler CEO Maria Ressa on the sidelines of the WEF on East Asia, Fernandes was nevertheless confident that open skies were on the cards for the region.

“We’re moving forward. It needs a little bit more of a push. And I think we’ll get it.”

Watch the full interview below:

The Aquino administration has a “pocket” open skies policy, which liberalized the country’s airports, except the Ninoy Aquino International Airport in Manila.

The 33-year-old Manila airport, frequently cited as the world’s worst, is marred by congestion and frequent flight delays. Last year, it accommodated about 32 million passengers at its terminals, way beyond its capacity.

The government is rehabilitating NAIA, while it finalizes plans for a new airport near Manila. Conglomerate San Miguel Corporation also presented a $10-billion airport proposal to Malacañang recently and said it was seeking partners for the project. – Judith Balea/Rappler.com

For live updates on the World Economic Forum on East Asia 2014, visit our live blog here.

For everything you need to know about WEF on East Asia 2014, visit Rappler’s microsite.