SEPANG (Nov 14): AirAsia Bhd expects strong growth next year, in anticipation lower fuel prices and airfares will generate higher demand for the low-cost airline's services.

Group CEO Tan Sri Tony Fernandes said airfares had risen about 11%, which was deemed substantial.

But the current backdrop of cheaper jet fuel on lower crude oil prices, has led to AirAsia's optimism to lower fares whilst stimulating more demand, moving forward, according to Fernandes.

"2015 will be one of our best years, coupled with all our ancillary initiatives that we have launched like our WiFi, where we see almost 40% of our passengers using the service when they fly, including our duty-free products that we have launched.

"If oil prices continues to go down, maybe we can get rid of oil surcharges, and that will stimulate more people to fly" Fernandes said.

Fernandes said this to reporters at the ground-breaking ceremony of the airline's new headquarters at Kuala Lumpur International Airport 2 (KLIA2), here.

The development cost for the airline's new corporate building is RM140 million. It is targeted for completion in 2016.

He said he foresaw a "new beginning" for AirAsia and airport operator Malaysia Airports Holdings Bhd, as they work together to reduce cost for passengers and maximise usage of other local airports.

At 12.30pm, AirAsia shares fell four sen or 1.6% to settle at RM2.46, for a market capitalisation of RM6.85 billion.