KUALA LUMPUR: Passenger traffic at airports run by Malaysia Airports Holdings Bhd (MAHB) has hit a new milestone in May to surpass the peak levels achieved in February this year.

The traffic expanded 1.8  per cent to 11.2 million passengers in May from the preceding month's 11 million passengers, reinforcing expectations of a full recovery at pre-pandemic level this year

"Additionally, this achievement marks the fifth consecutive month of over 10 million total passengers," MAHB said in a statement today. 

CIMB Securities, in a recent report, said MAHB's management expects a better second half, which traditionally trumps the first half of the year.

"The management has said it expects full traffic recovery in 2024 given the visa-free travel from India and China. The Malaysian government has granted visitors from China and India 30-day visa free travel into Malaysia from Dec 1 2023 until Dec 31 2024," the firm added.

Aviation consultancy Endau Analytics founder and aviation analyst Shukor Yusof expects said the passenger traffic to improve domestically, at least in the next six months, although it is unlikely to be sustained beyond 2024.

This is due to projected recession in the US and little prospect of resolution in ongoing conflicts in Gaza and Ukraine as well as the possibility of new unrest erupting in other parts of the world.

"The new milestone is not significant when taking into account the appetite for travel domestically, especially between Peninsular & East Malaysia," Shukor told Business Times today.

Last month, MAHB recorded 7.7 million passenger movements across its local network of airports, showing a steady performance with a one per cent increase from the previous month's 7.6 million passengers. 

The airports in Malaysia welcomed four million international passengers in May 2024, marking a two per cent increase from the 3.9 million passengers in the previous month. 

MAHB said domestic traffic at the local airports maintained its steady performance, with 3.7 million passengers recorded last month. 

"This consistency in domestic travel highlights the robust demand for air travel within the country, further supported by enhanced connectivity and continuous improvements in airport services.

"Overall, the combined growth in international and domestic traffic underscores the resilience and attractiveness of Malaysia's aviation sector," it said. 

Intensive efforts by MAHB to expand the country's network connectivity have resulted in KL International Airport (KLIA) serving 70 airlines, surpassing the pre-pandemic level of 69 airlines.

By the end of the year, three more airlines - British Airways, Vietjet Air and 9 Air - are expected to begin operations.

MAHB said it is actively pursuing 15 more foreign carriers to operate in the country over the next two years, aiming to elevate KLIA as a preferred international hub. 

To bolster air travel, the group said it has invested significantly in initiatives such as the Airline X-celeration programme, which includes landing fee waivers, airport office rental rebates, and marketing support. 

"About RM3 million has been allocated for marketing support on Malaysia-China routes alone so far, underscoring the group's commitment to enhancing connectivity and attracting more airlines," it noted.

At Türkiye's Istanbul Sabiha Gökçen International Airport, MAHB said total passenger movements in May reached 3.5 million, marking a 3. 0 per cent increase from April. 

Both international and domestic passenger movements contributed to this growth, with 1.8 million international passengers and 1.7 million domestic passengers recorded in May, it added.

https://www.nst.com.my/business/corporate/2024/06/1068433/mahb-hits-air-traffic-milestone