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Garuda sees KL as key market

KUALA LUMPUR: PT Garuda Indonesia, Indonesia’s national carrier, sees Malaysia as an important growth market due to the increasing economic activities between the two countries.

Garuda vice-president for Southeast Asia, Sentot Mujiono, said there is an increasing demand for greater flight frequency on the Kuala Lumpur–Jakarta route.

He added that with the Asean Open Skies policy being implemented next year, there would be higher air travel demand in the region, as well an increase in passenger traffic and movement of goods.

“I think this is a big opportunity for all Asean countries, and not only Indonesia and Malaysia. I also think that there will be more airlines going to Indonesia and more airlines flying out from Indonesia to other Asean countries,” Sentot said after launching Garuda’s new office, here, recently.

The Asean Open Skies agreement allows airlines based in its 10-member countries to operate any number of flights from, between and to signatory countries.

Maybank Investment Bank (Maybank IB) said in a research note it is of the view that the policy would see “faster growth rates, greater connectivity, lower ticket prices and a higher level of overall service quality” in the region.

One of the moves made by Garuda to tap the growing travel demand between Kuala Lumpur and Jakarta is to add a third flight between the two capitals starting from August 11 using its Boeing 737-800NG aircraft.

With the increased frequency, the airline targets to carry some 174,000 passengers by August next year.

Sentot said the Kuala Lumpur-Jakarta route is mostly dominated by business passengers with about 60 per cent, while leisure travellers (25 per cent) often stop over in Jakarta before flying to other Indonesian destinations, such as Bali.

When asked whether Garuda has plans to start a direct flight from Bali-Kuala Lumpur flight, he said the route is currently being analysed.

However, the airline has no immediate plans to introduce the direct route.

“We know that this route (Bali-Kuala Lumpur) has high potential, but right now, we want to prioritise Jakarta first because of the high business travel demand.

“Perhaps in the future, we will open a direct route from Kuala Lumpur to Bali,” Sentot said. 

BILQIS BAHARI

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