Kuala Lumpur: The Federal government has pledged to continue subsidising rural air services (RAS) in Sarawak and Sabah following the Sarawak Government’s acquisition of MASwings Sdn Bhd, as announced by Transport Minister Anthony Loke. The commitment was formalised through a memorandum of understanding, underscoring the Federal government’s obligation to sustain RAS.

According to BERNAMA News Agency, the memorandum signed on October 27, 2023, between the Federal and Sarawak Governments ensures that financial subsidies and commitments for RAS will persist despite the Sarawak government assuming ownership of MASwings. This move is intended to maintain seamless connectivity and service quality in the region.

Speaking at the signing ceremony for the sale and purchase agreement of MASwings between the Sarawak government and Malaysia Aviation Group (MAG), Minister Loke highlighted that the Federal Government has allocated RM209 million for RAS in Sarawak and Sabah for the current year. The Sarawak government’s takeover is anticipated to enhance service delivery, thereby improving connectivity for rural communities in Sarawak and Sabah.

Minister Loke expressed confidence that the Sarawak government, as the new owner, will elevate the quality of RAS, benefiting the residents of rural areas in both Sarawak and Sabah. The continued financial backing by the Federal government is seen as a crucial step in supporting regional development and accessibility.