News & Reviews:   domestic flights

AirBorneo, a Sarawak-owned airline, has announced plans to begin scheduled flights connecting East Malaysia with Peninsular Malaysia later in 2026, strengthening domestic air connectivity and laying the groundwork for future international services. The airline currently operates rural routes within Sarawak, Sabah and Labuan under the former Rural Air Services network previously managed by MASwings, and aims to expand beyond these services with larger aircraft.

Transport Minister Anthony Loke Siew Fook has revealed that the Cabinet will discuss maintaining the service tax for domestic flights at 6% instead of 8% as per the new service tax rates. He added that his Ministry will also discuss the matter with the Finance Ministry (MOF) since taxes fall under the latter’s purview.