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In a landmark move, Garuda Indonesia (GA) and Singapore Airlines (SIA) have pledged to strengthen their commercial ties today. This heralds a new era of cooperation aimed at providing mutual benefits for frequent flyers and exploring revenue-sharing arrangements on flights between Indonesia and Singapore.
The agreement, which is contingent on regulatory approvals, was formalised in Jakarta. Mr. Irfan Setiaputra, CEO of Garuda Indonesia, and Mr. Goh Choon Phong, CEO of SIA, signed the frequent flyer programme agreement. Mr Ade R. Susardi of Garuda Indonesia and Mr Lee Lik Hsin of SIA signed the joint venture revenue share agreement.
Upon implementation, the frequent flyer partnership will enable GarudaMiles and KrisFlyer members to earn and redeem miles across codeshare flights operated by both airlines. The revenue-sharing agreement promises to bolster joint capacity growth, marking a pivotal advancement in the proposed commercial joint venture encompassing flights between Singapore and Indonesia operated by both carriers.
The airlines are also intensifying their joint marketing efforts to boost tourism, potentially including collaborative initiatives to drive tourist traffic to Indonesia, such as familiarisation trips for the travel trade and media.
The codeshare partnership between Singapore Airlines and Garuda Indonesia has recently expanded significantly. Garuda Indonesia now shares codes on SIA flights to various Indonesian cities and long-haul destinations, while SIA reciprocates on Garuda Indonesia flights between Singapore and select Indonesian cities.
Mr. Irfan Setiaputra said this partnership aligns with Garuda Indonesia’s strategy to enhance performance and customer value. “As we share a common goal of maximizing the aviation business ecosystem in Southeast Asia post-pandemic, this initiative is a testament to our commitment to fortifying our long-standing cooperation,” he stated.
He further remarked on the historical significance of the partnership, which coincides with Garuda Indonesia’s 58th anniversary of connecting Indonesia and Singapore. Mr Irfan anticipates that the collaboration will foster social, cultural, and tourism ties and provide seamless travel experiences to destinations served by both airlines.
Mr. Goh Choon Phong of Singapore Airlines echoed these sentiments, emphasizing the partnership’s role in enhancing connectivity and meeting the growing demand for air travel. He highlighted the anticipated customer benefits, particularly in earning and redeeming miles, and the potential impact on tourism and economic growth.
This strategic alliance is set to redefine the travel landscape, offering unprecedented customer benefits and strengthening the tourism and cultural exchange between Indonesia and Singapore.