MATTA SLAMS IATA’S UNILATERAL MOVE ON REMITTANCE CHANGES

KUALA LUMPUR, 5 MAY 2026 – The Malaysian Association of Tour and Travel Agents (MATTA) announced its firm objection to the International Air Transport Association (IATA) Malaysia’s unilateral decision to implement a new Remittance Frequency alignment for BSP Malaysia (BSP MY), effective 1 June 2026.

During the 26th Agency Programme Joint Council (APJC) Malaysia Meeting held on 4 May 2026, MATTA outrightly rejected the implementation of the new remittance frequency as discussions on this matter remain incomplete, and that counter proposals along with concrete industry concerns have not been fully addressed. Despite this, IATA Malaysia insisted on proceeding, citing internal resolutions and directives from its headquarters, a position MATTA formally disputes.

MATTA emphasises that travel agencies in Malaysia are not IATA members but operate as IATA-accredited agents under the Passenger Agency Programme. As the National Association representing these accredited agents, MATTA consistently advocates for transparent, consultative engagement on all regulatory and procedural matters impacting the industry.

“Any change that affects the financial and operational stability of accredited agents must be developed through a fair, transparent, and consultative process,” Dr. Fazil Khan, Vice President of Air Transportation, MATTA stated. “The decision announced by IATA Malaysia does not reflect such a process.”

MATTA further clarified that, as IATA accredited entities, each Travel Agency and Tour Operators must independently decide whether to comply with the new remittance frequency. MATTA does not have the authority to compel compliance or non-compliance.

Accordingly, MATTA will not assume responsibility for any consequences or adverse actions taken by IATA against agencies that choose not to comply with the revised requirements.

MATTA will escalate this matter to the Passenger Agency Programme Global Joint Council (PAPGJC) for further deliberation to secure a more balanced and equitable outcome for Malaysian-accredited agents.

MATTA remains committed to safeguarding the interests of the travel agency community and will continue to engage constructively with all relevant stakeholders.