Travel Agent NewsMalaysian association makes a last-ditch attempt to oppose standardisation of airline remittance frequency with implementation looming close.

MATTA slams new IATA remittance ruling

By Travel Weekly Asia

May 08, 2026

With standard schedule overriding local agreements, in some cases, agents may have to pre-finance ticket sales. Photo Credit: AdobeStock/travnikovstudio

The Malaysian Association of Tour and Travel Agents (MATTA) has voiced its objection to what it says is a unilateral decision by the International Air Transport Association (IATA) Malaysia to implement a new remittance frequency via BSP Malaysia, a centralised system facilitating financial transactions between airlines and travel agents.

Internationally, a new ruling passed in November 2025 to standardise and shorten BSP remittance periods has drawn criticism, including from members of the World Travel Agents Associations Alliance, for eliminating local flexibility to set alternative dates through their Agency Programme Joint Councils (APJC).

Set to kick in on 1 June, the new frequency overrides local agreements, which, in some cases, may require agents to pre-finance ticket sales.

During the 26th APJC Malaysia Meeting earlier this month, MATTA argued that discussions were incomplete, adding that counterproposals and industry concerns have not been fully addressed.

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

IATA: consultation was done

According to a statement from IATA issued in January, consultation was carried out in the form of the Joint Councils reporting to the Passenger Agency Conference (PAConf), which takes action on matters relating to the relationships between airlines and sales intermediaries.

By the time PAConf came to a decision in November 2025, over 80% of markets with a weekly schedule had already implemented the standard remittance period, IATA stated.

Last-ditch advocacy

With less than a month to go to implementation, MATTA said it will escalate this matter to the Passenger Agency Programme Global Joint Council for further deliberation to secure a more balanced and equitable outcome for Malaysian-accredited agents.

At the same time, the Malaysian association is quick to disclaim that it is not responsible for any consequences or adverse actions taken by IATA against agencies that do not comply with the new remittance requirements.

MATTA clarified that it does not have the authority to impose the new requirements on agents. As IATA-accredited agents, travel agencies and tour operators must independently decide whether to comply.