Malaysia's AirAsia Group wins approval for $120m govt-guaranteed loan

Malaysia’s AirAsia Group has received approval from Danajamin Nasional Berhad for a club facility of up to 500m ringgit ($120m), it said Tuesday. The loan, 80% of which is guaranteed by the government, is earmarked for working capital purposes, which will support staff costs and key operating expenses such as aircraft maintenance as the group prepares to ramp up operations, it said. The loan, disbursed as part of a COVID-19 economic stimulus package from the government, has been approved by the airline’s lenders under a club deal term financing, it said. Danajamin Nasional, the country’s only financial guarantee insurer, is half-owned by the finance ministry. Malaysia is looking at allowing interstate domestic travel and international travel for its citizens when 90% of its adult population is fully vaccinated. The rate stood at 88% on Monday.<br/>