For many years, Malaysia Airlines (MAS) was considered the top airline in Malaysia and was worthy of its position as the country’s flag carrier. However, the airline has seen better days as many flyers, and even long-time customers, have recently voiced their dissatisfaction with the company.
While there have been many theories and debates as to what led to the airlines’ downfall – with the most common being the emergence of low-cost carriers like AirAsia – Izham Ismail, MAS’ chief executive officer and the managing director of Malaysia Aviation Group (MAG), denied those claims. Instead, he argued that the reason why Malaysia Airlines is facing a decline is due to the airline’s split from Singapore Airlines in 1972.
For those unaware, Malaysia Airlines and Singapore Airlines were once jointly known as Malaysia-Singapore Airlines (MSA). MSA came to be in 1966 as the result of joint ownership by the two countries’ governments. The partnership only lasted six years as the airline ceased operations in 1972. According to Izham, the decision to split the two airlines was due to differences in priorities between the two shareholders.
During a Q&A session at Routes Asia 2024, hosted by Malaysia Airports Holdings Bhd (MAHB) and Tourism Malaysia, Izham explained that the Malaysian government wanted to develop a domestic network, while the Singapore government wanted more international routes. He lamented that the decision to split caused MAS’ downfall and added, “We set up MAS to fail on the very first day.”. However, he did not elaborate on this claim.
At the same event, Izham also spoke about what is needed to make MAS competitive again. He said that a robust route network is the airline’s current priority and that they are working on reinvesting into the airline’s planes, including upgrading seats, cabin service and in-flight dining. Izham also mentioned that MAS’ partnership with Malaysia Airport Holdings Berhad (MAHB), which is the operator of 39 airports in Malaysia, was the key to the airlines’ progress.
As for rumours surrounding a potential merger, Izham clarified that MAS has no plans for mergers with, or acquisitions of, any airlines. The managing director said the airline will continue to focus its commitment to nation-building and operational independence.
