KUALA LUMPUR: The Malaysian Association of Tour and Travel Agents (MATTA) has a key role to play in driving a culture of self-regulation within the tourism industry, says Datuk Seri Tiong King Sing.
The Tourism, Arts and Culture Minister said this as the association rolls out its new Trust initiative to strengthen the industry’s integrity.
“Enforcement alone is not enough. Industry self-regulation, responsible practices and cooperation with the authorities are equally important. MATTA has a key role to play in driving that culture among its members,” he said.
His remarks came as MATTA officially launched Trust, an industry-wide initiative aimed at restoring public confidence and tackling illegal operators, scams and unethical practices.
MATTA president Nigel Wong said Trust will focus on implementing confidence, accountability and professional standards within the industry ecosystem.
“Trust provides a practical framework that reinforces responsible industry practices without duplicating regulatory functions,” he said.
Anchored by an artificial intelligence-powered platform known as TravelWatch.ai, the initiative will support enforcement efforts, strengthen industry standards and educate consumers on how to identify legitimate travel operators.
Wong said the association is pursuing a collaboration with the government, the private sector and other industry bodies to address persistent issues involving unlicensed operators, online scams and fraud.
“We decided to collaborate with the government and private sector, as well as other associations, to do what we can to solve the problem of specifically illegal operators,” he said at a press conference on Thursday.
He said TravelWatch.ai will undergo a three-month proof of concept trial in collaboration with the Tourism, Arts and Culture Ministry.
Wong said the platform functions as a reporting system capable of receiving complaints from licensed operators who are also members of MATTA.
“Right now, the system is basically a reporting system that can take in complaints.
“Initially, we will run it with the licensed operators before gradually opening it up,” he said.
Wong said the AI-powered system can process and analyse large volumes of data, including videos, audio files, receipts, documents and images, and cross-reference them against a database of cases.
“What would normally take an individual maybe 20 to 30 hours of research work can now be done within the span of 15 minutes or less,” he added.
He explained that the system is designed to assist the ministry in enhancing its enforcement process before officers go on the ground.
Wong said the authorities had been supportive and had requested additional features to be incorporated into the platform.
He said preliminary trials had already been conducted, including field work in Langkawi, where evidence was gathered and uploaded into the system.
“At this point, I’m very happy to say that the system works very well. It’s been able to create summaries and drill down to some of the specific issues faced in different cases,” he said.
On concerns that industry players may be hesitant about AI adoption, Wong said the feedback from some of the trial participants had been very good.
“It is because they’ve been able to see the performance increases and the accuracy of the data pulled up,” he added.
Beyond enforcement support, Wong said the Trust initiative aims to level the playing field for legitimate operators.
He noted that licensed travel agents incur overhead costs, including guarantees, insurance and compliance requirements, which illegal operators often avoid.
“If I’m forced to compete with an illegal operator that does not have the overheads or the capital expenditure that needs to be invested, they can drop prices to ridiculous levels. We can’t match that kind of unfair competition,” he said.
By reducing the prevalence of illegal operators, Wong added, the industry can refocus on delivering value rather than engaging in price wars.
“We’re hoping to rationalise the tourism industry and put ourselves back on the path of value delivery, not just making a buck,” he said.
Wong said MATTA will also continue advocating for greater professional recognition within the tourism sector, including stronger accountability among travel professionals.
“Ultimately, Trust is designed not only to curb illegal activities but also to educate consumers on how to identify legitimate operators and warning signs of scams, with the broader goal of rebuilding confidence in Malaysia’s travel industry,” he added.
Also present at the launch was MATTA vice-president (research and technology) Datuk Mohd Hizzat Mohd Shah.
