Vietnam Airlines and the Joint Stock Commercial Bank for Foreign Trade of Vietnam (Vietcombank) have signed a memorandum of understanding (MOU), to secure funding for the acquisition of 50 narrowbody aircraft.
According to the MoU, Vietcombank will participate in arranging capital for Vietnam Airlines' investment project of 50 narrow-body aircraft, including prepayments and long-term loans from 2026 to 2032.
This comes as Reuters reported that Vietnam Airlines is “close to finalising” a provisional order for 50 737 MAX jets that it made in 2023, citing industry sources.
The airline committed to purchasing 50 Boeing 737 MAX 8 aircraft in September 2023, a deal announced during a signing ceremony attended by then-US President Joe Biden, senior White House officials, and Vietnamese government leaders.
US and Vietnam officials said that the commitment will bolster jobs in both countries and strengthen the bilateral economic partnership.
Speaking on the signing of this MoU with Vietcombank, the airline stated: “The investment is aimed at expanding the short and medium-haul network in key markets such as Southeast Asia, Northeast Asia and domestic markets, where demand for transportation is growing rapidly and competition is increasingly fierce.”
Vietnam Airlines currently operates a mixed fleet of both Boeing and Airbus aircraft and has not yet disclosed which manufacturer will supply these 50 narrowbody jets.
Airline Economics has contacted Vietnam Airlines for comment.