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Indonesia's wildfire haze threatens Malaysia's tourism season and revenue

Malaysia's tourism sector is seeing fewer bookings and cancellations as haze from Indonesian fires blankets Kuala Lumpur and other major cities.

Visitors like Australian Cathy Hamilton are struggling to photograph Kuala Lumpur's skyline because haze from Indonesian wildfires has shrouded the city. The smog has also prompted school closures and disrupted flights, prompting inbound tour operators to report cancellations for November and a slowdown in group bookings, according to Malaysian Inbound Tourism Association President Mint Leong. Kuala Lumpur, Singapore and Jakarta were recently listed among the world’s ten most polluted major cities by IQAir.

Malaysia’s Visit Malaysia 2026 campaign targets 47 million tourists, yet only 28.8 million international arrivals were recorded in the first eight months of 2026. Tourism generated 124.8 billion ringgit in foreign spending last year and accounts for 15.9% of GDP, so the haze-related revenue loss could amount to millions of ringgit. While some vendors, such as Chinatown handbag seller Wong Mei, note fewer customers, other tourists like UK visitor James Wheatley say they are adapting and will stay despite the conditions.

Why it matters

The haze threatens a key economic sector, potentially reducing tourism revenue and jobs in Malaysia.

In this story

hazetourism bookingsVisit Malaysia 2026air qualityeconomic impactPetronas Twin Towerswildfire smoketourist cancellationsGDP contribution
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