Malaysia - Laos to resume direct air links

Malaysian budget carrier AirAsia will launch direct flights from Kuala Lumpur to Vientiane in Laos from July, resuming air links between the two cities after nearly a decade of hiatus, reports said Saturday.

The decision to resume direct air links was made at a joint commission meeting Friday as part of steps to boost cooperation in tourism, trade and investment, Foreign Minister Syed Hamid Albar was quoted as saying by The Star.

Malaysia Airlines introduced direct flights between the two cities in 1996 but stopped plying the route in 1998 due to low passenger demand amid the Asian financial crisis.

Malaysia is the ninth largest investor in landlocked Laos, with interests in hotels and hydropower facilities, the newspaper said.