'Passenger traffic to hit 103m this year'

Malaysia Airports Holding Bhd managing director Datuk Badlisham Ghazali at MAHB’s Business Update & 2018 Outlook in Kuala Lumpur yesterday.

KUALA LUMPUR: Malaysia Airports Holdings Bhd (MAHB) expects overall passenger traffic in the country to reach 103 million this year, compared with 96.5 million last year.

Its managing director Datuk Badlisham Ghazali said the airport operator anticipated more foreign airlines to launch direct flights to destinations in Malaysia other than the Kuala Lumpur International Airport (KLIA).

He said more international airlines would likely bypass KLIA and choose to fly directly into Penang, Kota Kinabalu and Langkawi.

This would, in turn, impact domestic flights from KLIA to other international airports within Malaysia.

However, Badlisham said it would contribute positively to international traffic growth this year.

Passenger traffic growth this year would be spurred by MAHB’s expansion plans, including automation, refurbishment and upgrade works throughout its network of airports.

“Passenger traffic growth is expected to be robust, with additional seat offerings from airlines and short-term upswing from the 14th General Election expected early this year,” he said at MAHB’s Business Update & 2018 Outlook, here, yesterday.

Badlisham said international traffic was expected to grow more than domestic traffic, attributed to new routes and aircraft this year.

“More airlines will launch long-haul flights to new destinations in Europe and relaunch their previous international routes.

“The airlines will also receive more efficient aircraft, making it possible for them to launch new routes and add more frequencies,” he said.

On the potential strategic investors for Istanbul Sabiha Gokchen (ISG) International Airport, Badlisham said 10 players were interested to become its partner.

“When you do business, it is always good to have partners, be it local or foreign partners. We think there is a significant value in ISG. It is an on-going progress,” he said.

However, Badlisham said MAHB would likely maintain the majority ownership in ISG in the short term, adding that MAHB had built significant value in ISG.

“We have made investments for the boarding hall. The second runway is coming on stream. The potential for growth is assured as ISG is strategically located between Europe and Asia,” he said, adding that MAHB expected ISG to be profitable in the financial year ending December 31.

Source: New Straits Times Online | 6 January 2018