NO agreement or commitment has been made to provide financial support to AirAsia through guarantees, loans or injections of public funds, says the Finance Ministry.
Nevertheless, the ministry said the government was monitoring developments in the aviation sector, including the impact of the Middle East crisis, global fuel prices, currency fluctuations and air connectivity.
It noted that AirAsia remained an important part of Malaysia’s aviation ecosystem, carrying about 41% of the 104.5 million passenger movements recorded at airports operated by Malaysia Airports Holdings Bhd (MAHB) last year.
The ministry also said air connectivity in Sabah and Sarawak relied heavily on AirAsia, which carried 62% and 70% of total passengers in the two states, respectively, last year.
Among airports with the highest proportions of AirAsia passengers were Sibu (79%), Bintulu (77%), Sandakan (75%), Kuching (72%), Tawau (70%), Miri (63%) and Kota Kinabalu (62%), it added.
In Peninsular Malaysia, AirAsia accounted for 70% of passengers in Johor, 56% in Terengganu, 56% in Langkawi, 49% in Alor Setar and 46% in Kelantan.
The airline also carried three- quarters of passengers at KLIA2, the ministry said.
The ministry’s written reply was in response to a question from Datuk Seri Dr Wee Ka Siong (BN-Ayer Hitam) on whether Putrajaya was considering guarantees, loans or injections of public funds for the private airline group.
The ministry said the government had taken note of issues involving AirAsia, including losses reported in its latest quarterly financial results.
The company had attributed the losses mainly to a sharp rise in jet fuel prices following developments linked to the Middle East conflict, it said.
The ministry added that it held regular engagements with players in the aviation ecosystem and sought views from industry representatives, technical experts and other parties affected by the crisis.
Any request for government support from companies in any sector would be assessed based on national and public interests, the government’s fiscal sustainability and the protection of public funds, in accordance with existing laws and procedures, it added.
The ministry also said the government would not comment on speculation or figures reported by the media to avoid affecting the market or the interests of workers, customers and other stakeholders.
