PUTRAJAYA: Transport Minister Anthony Loke said his ministry has not held meetings with AirAsia representatives in the past two to three weeks, amid reports that the budget carrier has been in discussions with government officials over possible financial support.
He said any recent discussions involving the airline may have taken place with the Finance Ministry, noting that airline operators regularly engaged with the government on industry-related matters.
“As far as the Transport Ministry is concerned, they may have had discussions with the Finance Ministry. Airlines do hold regular meetings with the government.
“However, in the past two to three weeks, there have been no meetings with AirAsia representatives,“ he told a press conference at the Transport Ministry today.
Loke did not elaborate on the nature of any discussions between AirAsia and the Finance Ministry or whether the airline had formally requested government assistance.
His remarks came after Reuters reported that AirAsia co-founder Tan Sri Tony Fernandes had met government officials in late September amid discussions over potential government support for the airline’s fundraising efforts.
Citing three sources familiar with the matter, Reuters reported that Fernandes met Finance Ministry officials during the week beginning Sept 28, with discussions reportedly focusing on possible government backing for AirAsia’s fundraising, subject to conditions still under consideration.
However, Fernandes disputed the account, telling Reuters that he had met officials from both the Finance and Transport ministries at his request, but insisted the discussions concerned rising aviation costs, including jet fuel prices and airport charges, rather than financial assistance.
Fernandes also maintained that he had not approached the government for financial assistance, nor had officials raised concerns about AirAsia’s funding position or offered support.
He expressed confidence that the airline could navigate its financial difficulties without state assistance, as it had during the Covid-19 pandemic, although he acknowledged that AirAsia would not reject government support if offered.
The reports come as AirAsia faces mounting financial pressure following a sharp increase in jet fuel prices, which contributed to a RM831 million net loss in the second quarter of 2026.
The airline is reportedly seeking up to US$1 billion (RM4.08 billion) in international debt funding and RM700 million in local credit facilities to refinance existing obligations and strengthen its financial position.
Fernandes said he had previously sought government assistance in securing loans from Malaysian banks, preferring local-currency financing with more favourable interest rates and repayment terms.
Reuters also reported that representatives from Alton Aviation Consultancy, which the Finance Ministry had reportedly engaged to assess AirAsia’s funding requirements, attended the discussions.
The Finance Ministry declined to comment on the reported talks, while Alton did not respond to requests for comment.
AirAsia’s financial position has attracted attention given its significant role in Malaysia’s aviation sector, particularly in domestic and regional connectivity, tourism and employment.
However, no government commitment to provide financial support to the airline has been confirmed.
