Malaysian Deputy Minister for Transport stresses need for government support of aviation


(KUALA LUMPUR: 05 December 2005) Delivering the Keynote Address at the Centre for Asia Pacific Aviation’s annual Outlook 2006 Summit in Kuala Lumpur, the Honourable Y.B. Tenguku Dato’ Seri Azlan Ibni Sultan Abu Bakar, Malaysian Deputy Minister for Transport, noted the importance of the aviation sector to Asian national economies and the need for governments to support it.

Addressing 250 delegates and media, the Deputy Minister remarked on the overall resilience of the Asia Pacific airline industry, but observed that recent external factors, such as the high price of jet fuel, have pushed carriers into difficult financial positions.

Given the importance of the sector, he therefore called on governments to take steps to assist the industry as a whole. As a positive example, he cited the case of the Malaysian government, which has offered landing and parking incentives to carriers launching new routes to or from Kuala Lumpur International Airport.

Adding that cost reduction, however, is "only half the equation for success in today’s environment", the Deputy Minister further called for governments to offer assistance in the area of revenue growth, notably through enhanced international access to stimulate further traffic growth. “It is important to continue eliminating barriers to airline competition in international markets,” he said.

Outlook 2006 is the Centre’s annual review of prospects for the Asia Pacific and Middle East airline industry. This year, the event is focusing on the issues of revenue maximisation and cost reduction, with a special section examining the role of government. Convening in the Malaysian capital, Outlook 2006 has brought together leaders from the extended region’s key stakeholders, representing every segment of the aviation arena, including airports, regulatory bodies and airlines, with both full service and low cost carriers participating.

The Centre for Asia Pacific Aviation, is the region’s leading independent air transport advisory group. With offices in New Delhi, Singapore, Geneva, Vancouver and the UK, the Centre remains at the forefront of the Asia Pacific and Middle East low cost movement, having advised numerous carriers on how to launch independent or affiliated budget airlines, as well as advising major airlines on restructuring exercises.

The Centre is also the region’s pre-eminent publisher of aviation-related information and data, with regular newsletters and reports, including such acclaimed publications as the monthly strategy report Aviation Analyst-Asia Pacific, and Peanuts!, its weekly look at the global low cost sector. The daily publication, Asia Pacific Airline Daily, summarises and analyses the sector’s vital issues.

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