New CEO Appointed to Restructure Garuda, SOE Minister Says

TEMPO.CO, Jakarta - State-owned Enterprises Minister Rini Soemarno said Pahala Nugraha Mansury was appointed as the new president director of state-airliner Garuda Indonesia to restructure the company. Pahala replaces Arif Wibowo to lead Garuda, which Rini said is in need of financial and operational restructuring.

"They need a thorough restructuring in operation and finances," Rini said at the SOE Ministry building in Jakarta Tuesday, April 18.

Rini said Pahala is tasked with strengthening Garuda's operation in facing domestic and international competition. He must also lead the airline in reinforcing its financial structure.

"After interviewing several candidates, we believe that Pahala is the best," she said. 

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According to Rini, Garuda's previous leaders did not do an optimal job. She said that Garuda Indonesia as well as its subsidiaries and sister companies like Citilink, GMF, as well as Aerowisata still need to synergize.

"Look at their competitors, they are selling bundled packages, not just plane tickets," she said.

The SOE Ministry gives Pahala Mansury one year to improve the flag carrier's finances and operational activities.

"We give him 12 months," Rini said.

When asked about who will replace Pahala's position in Bank Mandiri, Rini said to wait a few months for her to deliberate with the bank's directors and commissioners. 

DIKO OKTARA