CAAM Eases Airlines' Cost Burden With 60-day Credit Terms – Loke

PUTRAJAYA, April 14 (Bernama) -- The Civil Aviation Authority of Malaysia (CAAM) will extend credit terms for aviation fees and charges to 60 days, effective May 1, to ease financial pressure on airlines.

Transport Minister Anthony Loke said the measure was aimed at helping sustain the aviation industry during a challenging period following the conflict in West Asia, which has led to sudden cancellations of international flights.

“The situation reached a critical level on March 1, when about 75 per cent of daily flights to the region had to be cancelled,” he said.

Speaking at a press conference on a rail usage campaign to address rising fuel costs here today, Loke said if the situation persists, it could undermine international tourist confidence and result in estimated economic output losses of between RM15 billion and RM150 billion in 2026.

Meanwhile, in conjunction with the Gawai Dayak and Kaamatan festive season, he said CAAM would also introduce a RM50 airfare rebate for Malaysians travelling between Peninsular Malaysia and Sabah, Sarawak and Labuan.

He said CAAM would allocate RM5 million for the rebate, which is expected to benefit about 100,000 passengers during the period from May 15 to June 14.

Loke said the Transport Ministry believed both initiatives would provide significant benefits to the people, especially those travelling for work, education, family matters and other daily needs.

He said the measures also reflected the government's continued commitment to ensuring the national public transport system remains the preferred choice and is accessible to all segments of society.

-- BERNAMA