Sarawak Welcomes Possible Sabah Stake in AirBorneo Relaunch

The Sarawak government has signaled openness to Sabah investing in AirBorneo, the soon-to-be relaunched airline that will replace MASwings, though officials clarified it is not a requirement. Sarawak Premier Abang Johari Openg said Sabah has the financial capacity to proceed on its own but left the door open for collaboration.

“If they want to share, we can share with them. There is nothing wrong with that since both states are on Borneo. However, Sabah has indicated they would prefer to wait before joining, likely while exploring capital options,” Abang Johari said during an event in Belawai.

He noted that Sabah representatives approached Sarawak in mid-August, but Sarawak had not actively sought them as partners. “For Sarawak, we already have the capital to move forward with our airline project,” he added.

Under Malaysia’s federal system, both Sarawak and Sabah enjoy significant autonomy, including fiscal powers, making them key decision-makers in regional aviation. Sarawak plans to complete the acquisition of MASwings from Malaysia Aviation Group and secure all necessary permits to relaunch the carrier under the AirBorneo brand by the end of 2025.

The headquarters of MASwings, currently based in Kota Kinabalu, will be relocated to Sarawak as part of the transition. While the airline will maintain its Rural Air Services routes using ATR72-500s and DHC-6-400s, the state intends to expand operations into a hub-and-spoke model to enhance connectivity within Borneo and beyond.

Kuching International Airport will serve as AirBorneo’s primary hub.

Related News: https://airguide.info/category/air-travel-business/airline-finance/

Sources: AirGuide Business airguide.info, bing.com, ch-aviation.com