Government plans 10% reduction in airfares by october

Government initiative of reduction in airfares is expected to benefit both business and leisure travelers, making air travel more affordable for the general public.

The Indonesian government has announced an ambitious plan to cut airfares by 10 percent by October, aiming to alleviate the financial burden on travelers amid rising living costs. The move comes as part of a broader strategy to enhance accessibility to air travel and stimulate domestic tourism.

The Ministry of Transportation unveiled the plan on Monday, outlining a series of measures designed to reduce operational costs for airlines and consequently lower ticket prices. This initiative is expected to benefit both business and leisure travelers, making air travel more affordable for the general public.

To achieve the 10 percent reduction, the government will implement several key strategies. These include negotiating lower airport fees with regional authorities and revising fuel surcharge regulations. Additionally, the government plans to streamline bureaucratic processes for airlines to reduce operational overheads.

“The reduction in airfares is intended to support economic recovery by encouraging more people to travel within the country,” said Budi Karya Samadi, the Minister of Transportation. Industry experts have welcomed the initiative but caution that its success will depend on the ability of airlines to manage cost reductions effectively without compromising service quality. Airlines are expected to pass on the savings to consumers, but they will need to balance this with maintaining operational standards and profitability.