More than 200 million THB will be poured into the establishment of a Thailand - Vietnam airline in a bid to boost tourism and investment in the two nations in preparation for the upcoming ASEAN Economic Community (AEC) in 2015.

Kan Airlines CEO, Captain Sompong Suksanguan, revealed that his company and Vietnam 's Viet Jet Airways will form a new airline 'Thai Viet Jet Air', in which the Thai company will hold 51 percent of the shares, leaving the remaining 49 percent to the Vietnamese partner.

According to Sompong, the new airline will provide services in both international and domestic routes, underlining its affordable and safety features.

He said that initially the airlines will offer 2 daily trips from Bangkok to Hanoi and Ho Chi Minh City , beginning next year. The Kan Airlines CEO speculates that it will use Suvannabhumi Airport as its operation base.

The Captain said that the move will significantly stimulate tourism and investment in the two nations, raising their competitiveness in the AEC era. The new airline's fleet will consist of 3 airbus A 320 airplanes.-VNA