AirBorneo eyes ASEAN expansion after Singapore-Sarawak route launch

SINGAPORE: Sarawak-owned carrier AirBorneo Airways has recorded strong demand for flights during next year’s Chinese New Year period with tickets already about 80 per cent booked on its newly launched Singapore-Kuching route, its chief executive officer said on Thursday (Jul 23).

This comes as the airline prepares to expand its fleet and regional network in Southeast Asia. 

AirBorneo’s CEO Megat Ardian Aminuddin said that tickets for the route went on sale on Jul 13 and bookings for flights over a roughly 10-day period for 2027’s Chinese New Year holiday season have since averaged 80 per cent. 

Chinese New Year falls on Feb 6 next year. 

“That’s our target, to get 80 per cent of bookings,” he said at a media session at the Grand Hyatt Singapore. 

AirBorneo launched its first international service on Wednesday, operating a Boeing B737-800 aircraft between Kuching and Singapore via Changi Airport Terminal 4, after earlier launching flights to Kuala Lumpur on Monday.

In a statement, chairman Amar Haji Mohamad Abu Bakar Marzuki described the launch as a “significant milestone” for both the airline and Sarawak, saying it reflects its commitment to strengthening connectivity, expanding opportunities and supporting the state’s long-term economic aspirations.

“Singapore is an important regional gateway and this new route will strengthen tourism, trade, investment and people-to-people connections between Sarawak and Singapore,” he said.

Echoing this, Megat described Singapore as a “natural choice” for its first international destination, citing the close economic ties between Sarawak and “one of the region’s key aviation and commercial hubs”.

AirBorneo currently operates once-daily flights between Kuching and Singapore - as well as between Kuching and Kuala Lumpur - which the airline said mark the beginning of its international expansion strategy. 

Before AirBorneo’s launch, Scoot and AirAsia were the only airlines operating direct flights between Singapore and Kuching.

At the media session on Thursday, Megat said the airline currently operates a fleet of two jet aircraft serving Singapore and Kuala Lumpur, with plans to expand the fleet to five by the end of the year. 

This as the state-owned carrier looks to support higher flight frequencies to Singapore and Kuala Lumpur, with plans to also launch new international routes.

Megat said AirBorneo plans to expand beyond the Borneo region into Peninsular Malaysia before entering other Association of Southeast Asian Nations (ASEAN) markets, and eventually southern China. 

“By the end of this year, in October, November and December, once the additional aircraft arrive, we will launch new routes and increase frequencies to Singapore and Kuala Lumpur,” he said. 

While Megat did not disclose which other cities AirBorneo might fly to, Sarawak Premier Abang Johari Openg had on Monday said that the airline will soon fly to Jakarta after having secured an “allocation at the (international) airport there”. 

“Jakarta, very soon. We expect it within the next two months. In fact, we have already been allocated space at Jakarta international airport,” he was quoted as saying by Dayak Daily, referring to the Soekarno-Hatta International Airport. 

The Sarawak premier made the comments at a press conference for the launch of the Kuching-Kuala Lumpur route at the Kuala Lumpur International Airport. 

Abang Johari described AirBorneo as an important “bridge” connecting Sarawak with the rest of the world, comparing it to Japan rebuilding itself after the second world war by establishing Japan Airlines.

“After establishing its national airline, Japan became an industrialised and developed nation ahead of many other Asian countries.

“Learning from that, it is important for us to connect our economy with the world and our trading partners. We must have our own logistics network through which we can export our goods and services,” he said on Monday. 

FULL-SERVICE CARRIER

Megat on Thursday said that as a full-service carrier, AirBorneo is also targeting business travellers and those seeking greater comfort. 

He added that increasing the Singapore–Kuching service to as many as three flights a day would better cater to business travellers, allowing passengers to make same-day business trips. 

In February last year, the Sarawak government had agreed to acquire MASwings from Malaysia Aviation Group - the parent company of flag carrier Malaysia Airlines - to strengthen regional air connectivity and ensure affordable fares for Sarawak and its people.

AirBorneo was then established in January 2026 following the transition from MASWings, with its initial purpose of providing domestic rural air services within Sabah and Sarawak before the introduction of jet operations with the routes to Kuala Lumpur and Singapore.  

For its domestic air rural air services, AirBorneo currently operates a fleet of eight ATR72 and six DHC-6 Twin Otter aircraft, with deliveries of a further eight turboprop planes scheduled from 2027.

CNA previously reported that pricey airfares, schedule changes and flight cancellations have been plaguing AirBorneo in recent months, as analysts said that this could risk undermining the state’s ambitions in pursuing rapid development and greater autonomy. 

Observers also say that the Sarawak state government could still turn the situation around by ensuring AirBorneo improves public communication and operational efficiency as a successful Sarawak-owned airline could boost the state’s case for greater control of its resources. 

The airline had attributed the disruptions to unscheduled technical rectification work on several aircraft, ongoing scheduled maintenance, as well as operational and crew duty requirements.

Sarawak’s purchase of the airline - alongside its takeover of a port and a bank - has been viewed as one of its flagship development projects as the state pushes for greater autonomy in the Malaysian Federation.