Sarawak Takes Over MASwings, Introduces AirBorneo to Strengthen Regional Aviation

12 February 2025

KUCHING: Sarawak has officially acquired MASwings, paving the way for the launch of its new airline, AirBorneo, in a strategic move to boost the state’s aviation sector and economic development.

The historic acquisition was formalised through a Sale and Purchase Agreement (SPA) signed between the Sarawak government and Malaysia Aviation Group (MAG).

According to MAG, the transition is expected to be completed by year-end, with all stakeholders, including shareholder Khazanah Nasional Berhad, ensuring a smooth and compliant handover.

Until then, MASwings will continue operations under MAG to prevent service disruptions.

Sarawak Premier Datuk Patinggi Tan Sri Abang Johari Tun Openg emphasised that the takeover aligns with the state’s vision of positioning itself as a key aviation hub in Borneo and an entry point into ASEAN markets.

"Controlling our own air services is crucial, not just for connectivity but as a catalyst for economic growth," he said.

"AirBorneo will provide a balance between accessibility, affordability, and economic prosperity."

With this strategic shift, Sarawak gains the ability to tailor air services to meet the specific needs of its people and industries.

Plans are in place to introduce new international routes and expand into key markets, strengthening Sarawak’s presence in regional aviation.

"Enhancing our global connections will drive tourism growth and attract investment, further stimulating our economy," Abang Johari added.

AirBorneo will operate as a full-service carrier (FSC), offering premium in-flight services while reinforcing Sarawak’s appeal as a premier travel destination.

The airline will also maintain Rural Air Services (RAS) to ensure continued accessibility for remote communities, with gradual expansion into international routes.

"We remain committed to RAS while broadening our network within a four-hour flight radius, with further expansion based on market demand," he noted.

To extend its reach, AirBorneo will establish strategic partnerships and codeshare agreements with leading global airlines, including Malaysia Airlines, to facilitate broader connectivity and enhance passenger convenience.

Abang Johari also stressed the importance of continued cooperation with Malaysia Aviation Group, leveraging its expertise to maintain service quality and operational efficiency during the transition.

"A smooth transfer and high operational standards are our priorities, and working closely with MAG ensures minimal disruption," he affirmed.

Beyond improving air travel, AirBorneo is set to play a crucial role in advancing tourism and business travel, solidifying Sarawak’s reputation as an attractive destination for both visitors and investors.

"This initiative strengthens aviation partnerships while contributing to Malaysia’s wider economic and industry development," Abang Johari concluded.

The SPA was signed by Sarawak Secretary Datuk Amar Mohamad Abu Bakar Marzuki, who also serves as AirBorneo’s chairman, and MAG Group Managing Director Datuk Captain Izham Ismail.