Kamis 19 Sep 2013 12:10 WIB

Garuda Indonesia rises its ticket price

Rep: Friska Yolandha/Mutia Ramadhani/ Red: Yeyen Rostiyani
A man buys airplane ticket at Garuda Indonesia sales counter in Jakarta. (illustration)
Foto: Antara/Rosa Panggabean
A man buys airplane ticket at Garuda Indonesia sales counter in Jakarta. (illustration)

REPUBLIKA.CO.ID, JAKARTA - A state owned airline company, PT Garuda Indonesia rises its ticket price to anticipate the weakening IDR against USD that continues to happen. President Director of Garuda Indonesia, Emirsyah Satar said the stability of IDR was the main focus today.

"We have risen our ticket by five percent," Satar said recently.

About 60 percent of Garuda's earning is in foreign exchange. Satar said Garuda Indonesia impacted by the weakening IDR and the price increase was expected to minimize effects. 

Satar said that stable rupiah was more important, even if the exchange rate at 11000 IDR against USD. The fluctuating IDR value only hurt businesses using USD in their operations. 

Garuda Indonesia suffers impacts of weakening IDR in cost of aircraft rental and avtur as the national airline uses foreign currency in its transaction. Beside aircraft maintenance is also felt more costlier, company still has to import some aircraft spare parts in case of damage.

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