PHILIPPINE Airlines (PAL) has deferred investing in a joint venture airline that would have been the second full-service carrier to be based in Cambodia, confirmed PAL president Ramon S Ang.
TTG Asia e-Daily understands that the decision took into account the current political uncertainties in the country.
Under the joint venture deal inked last April, PAL was to invest US$10 million for a 49 per cent equity in the setting up of Cambodia Airlines, with the majority stake going to tycoon Neak Oknha Kith Meng who helms the Royal Group of Cambodia.
Had the joint venture pushed through, PAL was to use its expertise to help Cambodia Airlines build domestic and regional flights.
There are 23 foreign airlines flying to Cambodia, in addition to national flag carrier Cambodia Angkor Air.