Sarawak Acquires MASwings, Launches AirBorneo
The government of Sarawak in Malaysia has taken a major step to boost regional connectivity and economic growth by formally acquiring MASwings from Malaysia Aviation Group. The move, confirmed at a takeover ceremony on February 12, 2025, heralds the birth of the “new flagship airline” that will be rebranded as AirBorneo. State Premier Abang Johari Openg described the acquisition as a bold leap toward unlocking Sarawak’s full potential and establishing the state as Borneo’s aviation gateway.
At the ceremony, Premier Abang Johari Openg emphasized that AirBorneo would be much more than just an airline. “AirBorneo is not merely an airline, it is a catalyst for economic prosperity, social equity, and global connectivity,” he stated. He added that by taking control of its air services, Sarawak is positioning itself as a vital hub in the ASEAN region, fostering stronger regional ties and enhancing international access.
Currently, MASwings operates flights to and from Sarawak’s primary airport, Kuching, using ATR72-500 and DHC-6-400 aircraft. These services primarily connect smaller towns across Sarawak and the broader Borneo region. While these existing routes will continue under the new brand, the Premier outlined a more ambitious vision for AirBorneo. In the initial phase, the airline will concentrate on destinations within a four-to-five-hour flight radius, ensuring that Sarawak’s connectivity to nearby economic centers is greatly enhanced.
Looking to the future, the state government plans to explore codesharing partnerships with other carriers, including Malaysia Airlines, to extend AirBorneo’s global reach. This strategy is expected to improve connectivity beyond the South China Sea region, which has long been a challenge due to high ticket prices and limited access to more distant markets. Although Premier Abang Johari has not yet disclosed detailed fleet plans for AirBorneo, the acquisition signals a commitment to modernizing and expanding the regional air network.
In a related development, the Premier revealed plans for a new international airport in Kuching, which is projected to accommodate up to 15 million passengers annually. This future facility is designed to serve as a major aviation hub that complements the rebranded AirBorneo and supports the state’s long-term economic growth. The current connectivity in Kuching includes services by eight scheduled passenger carriers that operate to 19 airports across six countries. However, the Premier has expressed concerns over high fares and the limited scope of routes that restrict travel options beyond neighboring regions.
The acquisition of MASwings and its transition to AirBorneo received strong backing from key stakeholders. The Khazanah Nasional sovereign wealth fund, which owns Malaysia Aviation Group, and the Ministry of Transport of Malaysia provided crucial support and approval for the transaction. While the state government expects that it may take a year or more to fully take over MASwings and complete the rebranding process, this initiative is seen as a vital investment in Sarawak’s future.
By establishing AirBorneo, Sarawak aims to stimulate economic activity, enhance tourism, and improve regional connectivity. As the transformation unfolds, the new airline is expected to play a central role in driving the state’s economic growth and solidifying its status as a major aviation hub in ASEAN.
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Sources: AirGuide Business airguide.info, bing.com, ch-aviation.com