The Wings of Garuda After PKPU Decision
Another important thing that must be done is the continuation of restructuring, especially in increasing operational efficiency and increasing revenue streams. The optimal cost structure can be done by continuing a program that is based on efficiency in the sector of fleet maintenance costs, fuel management, and human resource costs. Meanwhile, the increase in aircraft load factor is carried out through a focus on the domestic market and captive hajj transportation.
If the foreign tourist market has recovered, GIAA can also start to focus again on the large East Asian tourist market (China, Japan, Korea). Likewise, the portion of cargo transportation must be increased so that it can become a buffer when the contribution of passenger transportation faces obstacles.
With this step, it is hoped that Garuda’s recovery can take place more quickly and be able to fulfill commitments to creditors according to the agreement points in the PKPU. As is known, Garuda has a list of fixed receivables (DPT) reaching Rp142.21 trillion to its creditors. This number does not include Boeing’s bill to the GIAA which is also large. However, we believe that the recovery of the airline industry can take place quickly in line with the better handling of COVID-19. Garuda can take advantage of the post-PKPU momentum by flapping its wings faster. Hopefully. []
Toto Pranoto-BUMNINC Expert Council
