Garuda Indonesia and Singapore Airlines (SIA) have been given the green light by the Competition and Consumer Commission of Singapore (CCCS) for their commercial joint venture agreement. This milestone approval paves the way for the two airlines to deepen their strategic partnership, promising significant benefits for both the airlines and the broader travel markets of Indonesia and Singapore.
The joint venture agreement, originally signed in May 2023, will enable Garuda Indonesia and Singapore Airlines to collaborate more extensively on a range of commercial activities. These include operating joint revenue-sharing flights between the two countries, coordinating flight schedules to provide travelers with more options and seamless connectivity, and launching joint sales and marketing initiatives to deliver greater value to customers.
Since the original agreement, both airlines have worked on various initiatives. These include enabling members of GarudaMiles and KrisFlyer, their respective frequent flyer programs, to earn and redeem miles on codeshare routes, and launching joint marketing campaigns to promote tourism.
Currently, Garuda Indonesia and Singapore Airlines share codes on multiple routes, connecting Singapore to Indonesian cities such as Bali, Jakarta, Medan and Surabaya, as well as long-haul flights to destinations such as Johannesburg, London (Heathrow) and Mumbai.
Irfan Setiaputra, president and CEO of Garuda Indonesia, expressed his satisfaction with the approval. “We are very pleased with this approval as it marks significant progress towards our commitment to improving service quality and expanding our network through this deepening partnership. This joint venture initiative will deliver extensive value creation to our loyal customers,” he stated.
Setiaputra emphasized that the partnership would provide seamless services for passengers, with more flight schedule options and easier mileage earning and redemption. He also highlighted the joint venture’s potential to boost Indonesian tourism and support post-pandemic economic recovery.
Goh Choon Phong, CEO of Singapore Airlines, echoed these sentiments. “The robust strategic partnership between Garuda Indonesia and Singapore Airlines has enabled us to expand our codeshare services in recent years, providing our customers with more flight choices. With the approval of the CCCS, we stand ready to deepen our cooperation across a wider range of commercial activities,” he said.
Phong added that the enhanced partnership would improve connectivity between Indonesia and Singapore, benefiting both business and leisure travelers and contributing to economic growth.
The approval of the commercial joint venture between Garuda Indonesia and Singapore Airlines marks an important step in improving connectivity and service quality between Indonesia and Singapore. This collaboration is expected to bring greater value to customers, promote tourism and support economic growth in the post-pandemic era.
