KUALA LUMPUR, December 8 — Transport Minister Anthony Loke Siew Fook stated that new and existing airlines in Malaysia must undergo a thorough evaluation and audit process by the Malaysian Aviation Commission (Mavcom) before obtaining or renewing their Air Service Licence (ASL). The assessment includes scrutinizing financial capabilities, ensuring the ability to sustain operations for three to six months. Minister Loke highlighted that if an airline’s cash flow is inadequate, its license may not be renewed or will only be granted for a short period.
This stringent process aims to protect passengers and prevent issues similar to those experienced by MYAirline. In response to a question during the Dewan Negara sitting, Minister Loke addressed aspects being examined to ensure airline companies meet licensing requirements before and after commencing operations. The move is aimed at preventing financial instability and safeguarding the interests of passengers who purchase air tickets. Additionally, Minister Loke clarified that Mavcom will not require airlines to place a deposit, noting that such a condition is not practiced in the aviation industry globally.
