AirBorneo (MY, Kuching) plans to launch narrowbody operations on July 20, 2026, using two B737-800s wet leased from Batik Air (ID, Jakarta Soekarno-Hatta), the New Straits Times newspaper reported after the carrier's press conference for the local media. At the same time, the airline plans to rationalise its rural air services (RAS) network to improve aircraft serviceability.

According to ch-aviation data, the start-up carrier plans to launch 2x daily Kuching-Kuala Lumpur International flights on July 20, followed by daily Kuching-Singapore Changi services on July 27. The flights will be operated with B737-800s configured with 12 business class seats and 150 economy class seats.

AirBorneo reportedly still intends to wet lease B737-800s from Ascend Airways Malaysia (AU, Kuala Lumpur International), although the arrangement remains subject to approval by the Civil Aviation Authority of Malaysia (CAAM). The Batik Air contract would run for 18 months and could be extended if required.

The airline does not currently operate any narrowbody aircraft but has long planned to introduce jet services to Peninsular Malaysia in 2026.

AirBorneo currently operates eight ATR72-500s and six DHC-6-400s used for regional services in the Malaysian part of Borneo. The carrier recently ordered three ATR42-600s and five ATR72-600s to replace its existing ATR - Avions de Transport Régional turboprop fleet.

Chief executive Megat Ardian Aminuddin said that AirBorneo aims to expand its jet fleet to five aircraft by the end of 2027 before transitioning from wet leases to dry or finance leases from 2028. Under its five-year fleet plan, the airline targets 17 dry-leased aircraft.

Network optimisation

The chief executive also said the airline would reduce frequencies on selected low-demand RAS routes to improve aircraft utilisation and maintenance planning. The network was recently affected by the prolonged maintenance of one aircraft, resulting in multiple delays and schedule changes during June 2026.

He added that the federal government's MYR209 million ringgit (USD51.3 million) annual subsidy applies exclusively to the RAS network and does not support AirBorneo's commercial jet operations. The airline expects to conclude a revised RAS agreement with the federal government by the end of 2026.

AirBorneo, which is owned by the government of the fiscally-autonomous Sarawak state, acquired MASwings and assumed its operations on January 1, 2026.