Air travel, tourism show early strain amid energy crisis, says Akmal

 The economy minister also says food supply remains stable, with sufficient stocks of essential items.

Economy minister Akmal Nasrullah Nasir said air passenger numbers from West Asia are projected to be 1.5 million this year due to the US-Israel-Iran war. (Wikipedia pic)

PETALING JAYA:

 Malaysia’s aviation and tourism sectors are starting to show signs of stress from the ongoing global energy crisis, says economy minister Akmal Nasrullah Nasir.

Akmal said that 55 weekly flights involving six airlines were cancelled between March 23 and 28, while tourist arrivals from March 1 to 25 recorded a decline.

It is now projected that there will be only 1.5 million air passengers from West Asia this year, he said.

“However, other transport segments remain relatively stable for now, particularly cargo handling and public transport passenger movement,” he said in a televised briefing on the global energy crisis.

Akmal said the labour market impact is expected to become more visible in the second quarter of 2026, beginning in June, if the conflict continues.

For now, he said, job losses had so far shown a declining trend from January to early April, suggesting a lag between rising costs and their impact on employment.

Domestic animal feed prices are projected to rise about 8%, while fertiliser costs are forecast to surge 15% to 20%, Akmal said, adding that rising production costs could soon translate into higher consumer prices.

However, he said basic food supplies remain stable, with sufficient stocks of rice, chicken, eggs, vegetables, fish, milk and fruits, and there is no immediate risk of disruption. - FMT