We refer to the article published in The Edge Malaysia yesterday, 7 December 2020, regarding the Company’s outlook and plans in the near term, specifically on the statements:

(1) “AirAsia Group Bhd is focusing on expanding its base in Southeast Asia and is in discussions about starting three new airlines in the region";

and

(2) “In the meantime, AirAsia is applying for digital banking licences in Malaysia and two other countries in Southeast Asia. Its remittance business has been growing 50% a month, Fernandes said, adding that the company will start lending in Malaysia in January and is also working on insurance and wealth management.”

The Board of Directors of the Company wishes to clarify that as mentioned in the Company’s 3Q2020 Earnings Press Release and 3Q2020 Earnings Deck available on AirAsia’s Investor Relations website, we are exploring opportunities for a local airline presence in IndoChina.

As for our lending plans under BigPay, we have received provisional approval for lending by the Ministry of Housing and Local Government (KPKT) in mid-November to provide online loans under a community credit licence. We hope to receive the final approval from KPKT in 1Q2021 before we officially roll out lending services in Malaysia. We are also working on insurance and wealth management services that are expected to be rolled out in Malaysia next year, subject to regulatory approvals.

This announcement is dated 8 December 2020.