Garuda Indonesia Nonchalant about Foreign Airlines Issue



Laila Afifa

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  • TEMPO.CO, JakartaGaruda Indonesia claimed its management remained nonchalant about foreign airlines that would operate domestic flights in the country and fearless in facing the competition if the government started to loosen the regulation on the negative investment list in the aviation industry sector.

    “A competition enlivens [a business]. No problem,” said the state-run airliner marketing director Pikri Ilham when reached on Thursday, June 13.

    According to Pikri, his corporate is always ready to face business competition regardless of the presence of foreign airlines. Instead, he hoped the operation of foreign airlines in the country would encourage healthier aviation market.

    Pikri recalled Garuda Indonesia used to be the only company providing flight service in the archipelago, and so monopoly practice occurred since there was no competitor. He implied that when his company dominated the market, it did not mean the business condition was better, yet healthier.

    However, he expected the government to maintain the regulation should the market widely opened. “Through a fair regulation, foreign airlines can operate [here]. It’s even better. Don’t just give it to big companies,” Pikri said.

    AirAsia Indonesia Chief Executive Officer, Dendy Kurniawan, shared the same view. He claimed to have no worry with an issue about foreign airlines operating in Indonesia as his corporate management was strong enough to deal with a broader market.


    Related: Kadin: Foreign Airlines will Improve Efficiency