Garuda Indonesia (GA) and Singapore Airlines (SIA) have agreed to strengthen their commercial partnership with the aim of providing mutual benefits to members of their frequent flyer program. They also plan to explore revenue-sharing agreements for flights between Indonesia and Singapore, pending regulatory approval.
The frequent flyer program agreement was signed today in Jakarta by Irfan Setiaputra, Chief Executive Officer (CEO) of Garuda Indonesia, and Goh Choon Phong, CEO of SIA. In addition, the joint venture revenue sharing agreement was signed by Ade R. Susardi, Director of Service and Commercial, Garuda Indonesia, and Lee Lik Hsin, Chief Commercial Officer, SIA.
Once the frequent flyer partnership is launched, GarudaMiles and KrisFlyer members will be able to earn and redeem miles on codeshare flights operated by both airlines. Once implemented, the revenue sharing agreement will facilitate joint capacity growth. This marks significant progress in the proposed commercial joint venture agreement that includes Garuda Indonesia and Singapore Airlines flights between Singapore and Indonesia.
Both airlines are working together on marketing activities to boost tourism. These activities may involve promoting tourist visits to Indonesia, such as organizing introductory trips for the travel industry and the media.
Singapore Airlines and Garuda Indonesia have a strong codeshare partnership that has grown in recent months. Currently, Garuda Indonesia has codeshare agreements with Singapore Airlines for flights connecting Singapore to Indonesian cities such as Bali, Jakarta, Medan and Surabaya, as well as long-haul routes to Johannesburg, London (Heathrow) and Mumbai. Singapore Airlines also has codeshare agreements with Garuda Indonesia for flights between Singapore and Bali, Jakarta and Surabaya.
Commenting on the development, Setiaputra, who is also president of Garuda Indonesia, said this collaboration is an important aspect of the company’s strategy to enhance its performance by forming a strategic commercial partnership, with a focus on delivering additional value to customers. “With the same mission in optimizing the potential of the aviation business ecosystem in Southeast Asia post-pandemic, this initiative is certainly an important expression of both airlines’ commitment to continue strengthening our established partnership,” he explained.
He added: “This collaboration is a special moment for us, which also marks 58 years of Garuda Indonesia’s journey in connecting Indonesia and Singapore. In the future, they hope that this partnership will continue to improve social, cultural and tourism relations between Indonesia and Singapore. This provides customers with seamless access to various destinations served by both airlines. Furthermore, this partnership is not only expected to bring added value to both airlines’ customers, especially through the ease with which miles can be earned and redeemed for tickets and other exclusive benefits, but it is hoped that it will further Garuda Indonesia’s support for the national will strengthen tourism by providing greater access to points in Indonesia for foreign tourists who will visit Indonesia via Singapore in the future.”
While Singapore Airlines CEO said: “Our win-win partnership with Garuda Indonesia will enhance connectivity between Indonesia and Singapore for our customers. This partnership will meet the rising need for air travel between Indonesia and Singapore, as well as support growth of tourism and economic activities. Moreover, by deepening the synergies between our frequent flyer programs, we can increase the benefits for our loyal customers, offering them more opportunities to earn and redeem miles when traveling with both airlines. .”
