Avianca has secured up to $300 million in financing to support maintenance, repair, and overhaul (MRO) of its CFM56 engines at GE Aerospace’s Celma facilities in Brazil.
The financing was arranged by Citibank and backed by export credit insurance from the Brazilian Agency for the Management of Guarantee Funds and Guarantees (ABGF). The transaction marks the first financing under the programme for aircraft engine maintenance services provided to a non-Brazilian airline.
Financing to support engine shop visits
The facility will provide funding for CFM56 engine shop visits across Avianca’s fleet, giving the airline greater liquidity and flexibility as it executes its engine maintenance programme.
The transaction also broadens the application of Brazil’s export-credit support to high-value aviation services, rather than limiting the programme to aerospace products manufactured in the country. The underlying engine maintenance work will be carried out domestically by GE Aerospace.
For Avianca, the financing provides a dedicated source of capital for engine maintenance as the airline and its parent company, Abra Group, continue to focus on fleet reliability, maintenance planning and operational efficiency.
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GE Aerospace expands Brazilian MRO role
GE Aerospace’s Celma operation serves as the company’s primary engine overhaul platform in Latin America. Its facilities in Petrópolis, Rio de Janeiro, and Três Rios support a wide range of engine maintenance activities.
The Brazilian operation performs approximately 25% of GE Aerospace’s internal engine maintenance work globally, highlighting the strategic importance of the country within the company’s worldwide MRO network.
The Avianca financing further demonstrates the role of Brazil’s engine maintenance infrastructure in supporting international airlines while strengthening the country’s position as an aviation services hub.
New model for aviation MRO financing
The transaction represents a broader development for Brazil’s aerospace sector by extending export-credit mechanisms to specialised MRO services. By supporting engine maintenance performed locally, the financing structure connects international airline demand with Brazil’s established engine overhaul capabilities.
For Avianca and Abra Group, the additional financial flexibility can help support planned engine shop visits and maintain fleet availability. For Brazil, the programme creates an avenue to support the export of high-value aviation services and potentially attract further international MRO business.
The $300 million facility therefore strengthens Avianca’s engine maintenance strategy while highlighting the growing importance of innovative financing solutions in the global aviation aftermarket.
