Earlier this year, Danantara Indonesia and the State-Owned Enterprise Management Agency (BP BUMN) announced plans to merge Pelita Air into Garuda Indonesia, Indonesia’s national flag carrier. Since then, the merger has been delayed beyond 2026, with no progress reported so far.
Pelita Air to Join Garuda-Led Airline Holding
As part of the proposed consolidation plan, the merger will improve its pre-flight, in-flight, and post-flight services. BP BUMN Head and Danantara Chief Operating Officer (COO) Dony Oskaria said that these improvements will strengthen Garuda Indonesia’s position and increase its competitiveness in the market.
Service improvements include a more seamless ticketing system, upgraded lounges, better cabin service, higher-quality catering, an improved loyalty programme, and human resource development.
Strengthening Indonesia’s State-Owned Airlines
Citilink has operated as Garuda Indonesia’s subsidiary since 2012. By adding Pelita Air to the same holding, Oskaria said the consolidation could strengthen the state-owned airline group’s ability to compete in the Indonesian and regional markets.
This merger is part of a broader initiative by President Prabowo Subianto to streamline state-owned enterprises, aiming to reduce their number from 1,077 to 350 by the end of 2026.
Would you choose to fly Garuda Indonesia because of its merger with Pelita Air? Let us know in the comments!
