PRIME Minister Anwar Ibrahim has agreed in principle to the Sarawak government’s proposal to establish a state-owned boutique airline aimed at stabilising flight prices from the peninsula to Borneo. 

Anwar said the presence of the airline could resolve the issue of costly airfare between the peninsula to Sarawak and Sabah. 

“Looking at the performance and capability of the Sarawak government, I have agreed in principle to the proposal of setting up another airline company by the Sarawak government,” he said in a speech at the official opening of the Raia Convention Centre and Hotel today. 

The prime minister added that the Sarawak government’s proposal would be brought to the weekly cabinet meeting scheduled tomorrow for further discussion. 

“I agree to the proposal. In fact, in our cabinet meeting, details like expensive airfare and the setting up of a new boutique airline as suggested by the Sarawak state government will be discussed,” he said.  

Earlier, in his speech at the same function, Sarawak Premier Abang Johari Tun Openg had expressed hope that the federal government would approve the state’s proposal. 

Abang Johari said the setting up of a new airline would help stabilise airfare rates deemed high. 

“We (Sarawak) are in Borneo; if people want to come here, they need to take a flight because they cannot use any other mode of transport, but the airfare is expensive. 

“We actually do not want to compete with other airlines but just want to stabilise airfare to the state. The airfare from Kuala Lumpur to Kuching is the same as the airfare from Kuala Lumpur to Hong Kong. Therefore, the state government is ready to invest in an airline company,” he said. 

On November 13, Abang Johari was reported as saying the Sarawak government was still waiting for the Transport Ministry to allow it to set up and operate its own airline. – Bernama, April 17, 2023.