Garuda Indonesia to Become Holding Company for State-Owned Airlines

Indonesia is set to consolidate state-owned airline Pelita Air into the Garuda Indonesia Group, with Garuda Indonesia becoming the holding company for national carriers. This strategic move aims to strengthen the domestic aviation industry and enhance international competitiveness. Dony Oskaria, Head of BP BUMN and COO of Danantara, revealed this plan during a meeting with the board of directors of Pelita Air on Thursday (23/7/2026). According to Oskaria, this consolidation will bolster the group's overall operational capacity, enabling it to face intense competition within the aviation industry. "Garuda Indonesia will later become our airline holding company. Pelita will become part of Garuda Indonesia. With this consolidation, these companies will have a stronger ability to compete and dominate the market," Oskaria stated in a written statement on Friday (24/7/2027). Oskaria emphasized that the aviation industry is a business requiring high precision and swift decision-making in every operational aspect, as each element directly impacts company performance. "The aviation industry is an industry that requires meticulousness, managed day by day, minute by minute. Once the plane takes off, we can measure the profit or loss of a flight. Therefore, analyzing every route and connectivity is crucial," he said. BP BUMN and Danantara are also pushing for an improvement in service standards across the entire Garuda Group journey, from pre-flight, in-flight, to post-flight. Service enhancements will be achieved through the integration of ticket sales systems, improved lounge quality, enhanced in-flight experiences, service standards for cabin crew, catering quality, strengthening customer loyalty programs, and human resource development. Through this consolidation and the enhancement of service quality throughout the passenger journey, Garuda Group is expected to become the primary choice for Indonesian citizens and increase its competitiveness as a major player at the regional level.