In a short statement, MAHB said all aeronautical charges are regulated and are the prerogative of the government and this includes the introduction of the departure levy.

“We will work closely with the government to implement it in accordance with the regulation.”

Earlier today, Finance Minister Lim Guan Eng said the departure levy was meant to encourage domestic tourism.

“The government proposes to impose a departure levy for all outbound travellers by air starting 1 June 2019,” he said when tabling the budget, adding that the proposed rate is 2-tiered, RM20 for outbound travellers to Asean countries and RM40 to countries other than Asean.

On the Airport REIT, the airport operator said it would allow the government to securitise its infrastructure assets.

However, it would wait for further directions from the government in order to get a clearer picture of its implementation.

“In the meantime, we will still continue with the Operating Agreement finalisation discussion with the government and the Regulated Asset Base study with the Malaysian Aviation Commission (Mavcom) as a way for us to undertake the capital expenditure (Capex) needed for the future upgrading and expansion of the airports.”

Lim said the Airport REIT would provide the opportunity to raise funds publicly either by issuing new REIT units or via borrowings in order to fund the improvement and expansion of airports, especially those facing over-capacity.

This financial structure, he said, will significantly reduce the government’s debt to fund these projects, while maintaining MAHB as an asset-light operator.