High Airfare Prices

Government Unveils Plan to Tackle Indonesia’s High Airfare Prices

Share:

Coordinating Minister for Maritime Affairs and Investment Luhut Binsar Pandjaitan called airplane tickets in Indonesia one of the most expensive. Therefore, Luhut stated that government is preparing a strategy to reduce the ticket price.

Luhut even mentioned that after Brazil, Indonesia’s airplane tickets are the second most expensive among highly populated countries.

“Compared to ASEAN countries and highly populated countries, Indonesia’s flight ticket prices are the second most expensive after Brazil,” he said, as quoted from his Instagram on Thursday, July 11, 2024.

Luhut explained that the high price of airplane tickets was due to the recovery of flight activities after the pandemic. Based on IATA (International Air Transport Association) data, this year, there are projected to be 4.7 billion passengers globally, an increase of 200 million compared to 2019.

“We are preparing several measures for flight efficiency and ticket price reduction, such as evaluating aircraft cost operations. Cost Per Block Hour (CBH), the largest component of aircraft operating costs, needs to be identified in detail,” he said.

And it is not just stopping at identifying the problem. The government are formulating a comprehensive strategy to reduce the CBH value, taking into account the type of aircraft and flight services, to ensure a significant reduction in ticket prices.

In addition, Minister of Tourism and Creative Economy Sandiaga Uno also confirmed that the government has formed a task force to reduce airplane ticket prices. This is an effort to create more efficient airplane ticket prices in Indonesia.

“The coordination meeting has been held, and there are nine steps ahead, including the formation of a task force to reduce (the price of) airplane tickets,” Sandiaga said after the Road to: Run For Independence Day 2024 in the GBK area, Jakarta, Sunday, as reported from Antara.

Find this article helpful? Check out our other articles from Social Expat for more food and drink recommendations in Indonesia:

SEO Writer

Imelda is a content writer specializing in viral news and Indonesian culture. Her work revolves around researching and analyzing current events, social media trends, and popular culture.

Related News

Westlife are set to return to Indonesia with a special concert titled “Westlife – A Gala Evening”, taking place on 10 February 2026 at the Nusantara International Convention Exhibition (NICE) PIK 2, North Jakarta. Presented by Color Asia Live, the show will feature the Irish vocal group performing with full orchestral backing. The format mirrors […]

Police have arrested ten members of an international credit card theft syndicate operating in the Ubud tourist area, Gianyar Regency, Bali. The group consists of six foreign nationals and four Indonesians who played distinct roles within the operation. The case was uncovered following a report lodged by South Korean actress Jeon Hye-bin, whose husband became […]

Indonesia’s immigration authorities have highlighted growing concerns over the behaviour of foreign nationals in Bali amid a sharp rise in arrivals. Acting Director General of Immigration, Yuldi Yusman, said the province now faces “complex and multidimensional challenges” involving legal compliance, economic impact, and cultural norms. He delivered the statement during a public lecture at Udayana […]

The National Narcotics Agency (BNN) has arrested Indonesian fugitive Dewi Astutik, also known as Paryatin or Mami, for her alleged role in an international narcotics network operating across several countries. The network spans Cambodia, Nigeria, Brazil, and the Golden Triangle region of Thailand, Myanmar, and Cambodia. Her arrest is connected to the smuggling of 2 […]

Expat Events

Indonesia Visas

Expat Event

Social Networking Event
150,000
Copper.30
Business Networking
150,000
Casa Cuomo Ristorante & Lounge
Brunch Business Networking
280,000
The Penthouse Beachwalk Residence Kuta Bali

Indonesia Guide

Just For Fun

Write For Us

Exclusive Promotions

Event Gallery