The government of Malaysia has earmarked MYR2.3 billion under Budget 2026 to upgrade key airports across Penang, Sabah, and Sarawak, with all projects expected to be completed by 2028. Prime Minister Anwar Ibrahim announced that the allocation covers Penang International Airport, Kota Kinabalu International Airport, Tawau Airport, and Miri Airport, reflecting the government’s commitment to strengthening regional connectivity and airport capacity.
Further, the short take-off and landing ports (STOLports) in Marudi (Sarawak) and Redang (Terengganu) are also being upgraded, with completion targeted by 2027. To improve passenger experience, the Inter-Terminal Transfer Project linking KLIA Terminal 1 and Terminal 2 will be implemented, enabling seamless transfers and positioning the Kuala Lumpur International Airport as a world-class integrated hub.
In addition, the Selangor state government, together with Malaysia Airports Holdings Bhd (MAHB), is advancing the development of the Selangor Aero Park — a 600-acre logistics and cargo hub in Sepang designed to serve as a regional logistics gateway. The coordinated investments underline Malaysia’s strategy to expand airport infrastructure and logistics capacity to support long-term economic growth.
