Garuda Indonesia (GA) and Singapore Airlines (SIA) will enter into a joint venture arrangement that would deepen the cooperation between the two national flag carriers.
The underlying purpose is to further stimulate tourism, and increase passenger capacity between Singapore and Indonesia, and the agreement will offer travellers further travel options between the two countries.
Subject to regulatory approvals, the proposed joint venture will cover routes between Singapore and Denpasar, Jakarta, and Surabaya.
Scheduling and joint fare initiatives
This will expand on the Memorandum of Understanding (MoU) that the two airlines signed in November 2021.
It would allow Garuda Indonesia and Singapore Airlines to potentially coordinate schedules between Singapore and Indonesia, offering customers more seamless flight connectivity between the two countries and beyond.
The carriers will also explore the implementation of new initiatives, including joint fare products and an alignment of corporate programmes to enhance the value proposition to customers.
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Mr Irfan Setiaputra, President and Chief Executive Officer, Garuda Indonesia, explained, “With the existence of more than a decade of collaboration between these two national flag carriers, this joint venture agreement, will certainly strengthen the commitment between the two carriers simultaneously.”
“With this initiative, both airlines agreed to further explore more advantages for both our customers, allowing them to enjoy various flight schedules with enhanced value services within the networks of Garuda Indonesia and Singapore Airlines.”
“On top of that, this deepening relationship may also strengthen tourist flows between Indonesia and Singapore.”
“This makes it easier for international tourists to create their remarkable South East Asia journey – visiting the uniqueness of Singapore, and exploring the exoticism of Indonesia’s multiculturalism while enjoying the beauty of the scenery across the islands in Indonesia that awaits.”
Mr Goh Choon Phong, Chief Executive Officer, Singapore Airlines, said: “This joint venture will be a win-win arrangement that elevates the long-standing partnership between Garuda Indonesia and Singapore Airlines.”
“It reflects our firm commitment to grow the aviation markets in Indonesia and Singapore, facilitating a greater level of business and people connections and promoting both countries as regional tourism destinations.”
“Our customers will also enjoy even more benefits, including an improved level of network connectivity, enhanced travel convenience, and additional fare options.”
Garuda – SIA partnership history
The two respective national flag carriers have past history of cooperation which dates back to 2010. The two airlines initially started codesharing in 2010 on flights between Singapore and Denpasar in Indonesia.
In 2014, the agreement was further expanded to include flights between Singapore and Surabaya, as well as on flights operated by SIA’s former regional subsidiary, SilkAir.
In 2019, the two carriers revisited the partnership and further expanded the codeshare agreement to include flights between Singapore and Jakarta.
The partnership deepened in 2021 when both carriers signed a Memorandum of Understanding (MoU) that built on their long-standing ties, allowing both carriers to explore a wide-ranging commercial partnership that provides their customers with additional options and an enhanced travel experience.
Both carriers are also committed to finding new growth opportunities in the air freight segment, as well as cooperation in maintenance, repair, and overhaul activities.
GA has also expanded its codeshares with SIA, and is codesharing on SIA’s services to London, Mumbai, and Johannesburg.
