KUALA LUMPUR – Announcement made by Malaysia’s government regarding the reopening of borders on Apr 1 have brought on positive market changes to key players in the aviation industry within the country.
As of the time of writing, several companies have announced their positive outlook to this news.
The Malaysian Airport Holdings Bhd (MAHB) was one of the companies positively impacted by the news. The company saw 781,600 shares change hands during early trade made on Mar 9.
MAHB chairman, Datuk Seri Dr Zambry Abd Kadir previously told Bernama that “the border reopening will be the turning point in Malaysia’s economic recovery.”
“The increase in international passenger traffic movement should in turn improve Malaysia Airports’ performance,” he added.
Before the COVID-19 pandemic, Bernama notes that Malaysia receives 26 million tourists and generated RM86 million in tourist expenditure.
“Once border reopen, the country should regain this source of income. Global market demands on local industries will also increase and potentially spur faster economic recovery,” he said.
Meanwhile, AirAsia Malaysia told Bernama that the border reopening will “provide a welcome boost to support additional capacity in many core international markets.”
The company also said that they would announce new services as the world continues to open their borders. Despite that, Capital A Bhd’s stocks declined on Mar 9.
Aside from that, the International Air Transport Association (IATA) said in a statement that reopening borders is a good step forward.
“Aviation provides needed connections to facilitate commerce, trade, and movement of people. Malaysia would reap social and economic benefits of aviation due to contributions to jobs and GDP.” IATA regional vice president Phillip Goh said.
Goh further calls for Malaysia to replace pre-depature PCR testing with RTK tests instead, hoping the country would stop the pre-departure and post-arrival testing for fully vaccinated travellers.
“We’ve seen encouraging momentum in the Asia Pacific region to ease travel restrictions in the past few weeks. Countries like Australia, India, New Zealand, Philippines, Singapore, Sri Lanka, Thailand, and Vietnam have taken steps forward to lower barriers to international travel,
“We urge other major states to follow suit so they can maximise the benefits that aviation can bring to their economies,” he said.
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