Malaysia’s zero GST spurs domestic travel this Hari Raya season

The current tax holiday that Malaysians are enjoying is spurring domestic travel, with inbound agents and hoteliers seeing an uptick in domestic tour package and room bookings for the coming Hari Raya Aidilfitri (June 14-15) holiday.

Demand for travel is partly spurred by cheaper costs of holidaying since the zero-rated goods and services tax (GST), down from six per cent previously, began on June 1 while the sales and services tax has yet to kick in.

Kingston Khoo, director of sales and marketing at Mutiara Taman Negara, said: “We’re seeing a slight pick up on domestic bookings for Hari Raya. Bookings are mainly for FITs and young families. We see more eco-adventure packages being purchased by millennials such as via ferrata adventure near Taman Negara and trekking to the waterfalls.”

Similarly, Eric R Sinnaya, managing director of Langkawi-based Morahols Travel, has recorded a 10 per cent increase in forward bookings from the domestic market. Clients are mainly from the northern region, Kuala Lumpur and the east coast.

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