Malaysia Airlines (MAS) and Singapore Airlines (SIA) finalized and signed a wide-ranging agreement to codeshare on routes between the southeast Asian neighbors and elsewhere, along with sharing revenue on flights between Singapore and Malaysia and developing marketing activities in order to boost tourism, in general.

The cooperation between the carriers is a result of financial trouble incorporated at Malaysia Airlines, long after the split out from Malaysia-Singapore Airlines in 1972.

Currently, the airline codeshare on a flight between Singapore and Kuala Lumpur, Kota Kinabalu, Kuching, and Penang. The deal provides for Singapore Airlines and its unit, SilkAir, to codeshare on 16 domestic locations with Malaysia Airlines, while allowing the former to codeshare on flights to Europe and South Africa, among other destinations. Malaysia Airlines this month announced a codeshare arrangement with British Airways as well for 14 destinations.

The carriers said in a joint statement "Subject to regulatory approvals, the codeshare flights will be progressively made available for sale through the airline’s respective booking channels in key markets,".

Last week, Malaysia said it had shortlisted four potential investors for strategic partnership with the national carrier. As it has strengthened its operations and internal management via cost-cutting and service improvements, it is strengthening code-sharing pacts and joint ventures with other airlines to stay competitive into the overall segment.