I REFER to “Should MAHB be privatised?” 

The writer has raised concerns over the proposed privatisation of the Malaysia Airports Holdings Bhd, which operates 39 airports in Malaysia. The concerns may be borne out of national pride or strategic considerations, although they are somewhat misplaced.

The fact is that Global Infrastructure Partners (which is proposing to take MAHB private together with Khazanah, Employees Provident Fund and the Abu Dhabi Investment Authority) has a sterling track record in turning around airports throughout the world.

Take the Edinburgh Airport which GIP took over in 2012. Passenger numbers have risen from 9.2 million to 14.4 million last year. The number of destinations has increased to 225 from 141.

GIP’s Sydney Airport saw decreased security wait times by more than 60% to 11 minutes. At Gatwick, GIP completed their train replacement (same model and track length as KLIA’s Aerotrain) within 10 months and increased passenger throughput from 220 to 550 passengers per hour.

Why do we want to say no to foreign expertise that can help boost the global rankings of our airports? In March this year, KLIA was ranked the 8th worst airport in Asia by “Business Financing”. Regular users of Malaysian airports can attest to their rapid deterioration over the years.

Run-down airports repel visitors. Airports are major gateways to the country for international visitors, as well as domestic and transit passengers. Accelerating MAHB’s transformation into a world-class airport operator through partnership with international experts will surely enhance Malaysia’s trade, business and tourism.

One of the main reasons for the opposition to the move to take MAHB private is that GIP is in the process of being acquired by BlackRock, the largest fund manager in the world, which has stakes in companies providing arms to Israel.

First of all, BlackRock has yet to acquire GIP, so why are we jumping the gun? Secondly, BlackRock is currently the largest fund manager in the world, with a staggering US$10.5 trillion (US$1=RM4.71) assets under management.

They even have sizable shares in tech giants like Apple, Facebook, and Google. BlackRock’s investments in Bursa Malaysia stocks are said to be worth around RM20.5 billion. They also hold a further RM6.9 billion in both Malaysian government and corporate bonds.

Are we going to stop using Apple products, Facebook and Google because of this? Are we going to force BlackRock to sell their shares in our local bourse, causing markets to crash? We do not need to cut our nose to spite our face.

It’s time we allow cool heads to prevail. The proposal to privatise MAHB, with the expertise from tried-and-tested GIP must go on, so that our airports can take flight like it used to again. – June 10, 2024.

* Mohd Saiful Hisham reads The Malaysian Insight.

* This is the opinion of the writer or publication and does not necessarily represent the views of The Malaysian Insight. Article may be edited for brevity and clarity.