Garuda cuts airfares to Jakarta by 50 percent

A Garuda Indonesia aircraft.
PHOTO: Reuters

Flag carrier Garuda Indonesia has announced it has cut airfares from all destinations to Jakarta by 50 per cent in an attempt to increase its load factor during the seasonal exodus when large numbers of people leave the capital city to return to their hometowns to celebrate the Idul Fitri holiday.

Garuda Indonesia commerce director Pikri Ilham said on Monday that the planes from Jakarta to all destinations all over the country were fully booked, but the load factor on the planes returning to Jakarta was less than 60 per cent.

"Therefore, we're making a 50 per cent cut in fares," Pikri said as quoted by tempo.co, saying that the discounts would be valid up to June 6.

Last week, Transportation Minister Budi Karya Sumadi called on airlines to make price cuts to passengers travelling to Jakarta to increase their load factor.

Pikri said the airline had announced the price cuts, but on a number of online ticket sale platforms such as Traveloka, the fares had not significantly changed on Monday.

Tickets on the Yogyakarta-Jakarta route, for example were still selling for Rp 1 million (S$96), while tickets for the Padang-Jakarta route for one day before the Idul Fitri still sold for Rp 1.6 million.

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