JAKARTA – The management of PT Garuda Indonesia (Persero) Tbk (GIAA) is projecting its performance to remain on track following performance optimisation initiatives nearing the end of 2024. The strategies include production increase through four additional aircrafts and global partnership with international airlines.

Irfan Setiaputra, President Director of GIAA, mentioned that the company’s performance is projected to improve through several strategies to strengthen the foundation of its financial performance post-restructuring.

“After succeeding in reducing aircraft lease cost during restructuring phase, we are now exploring the implementation of new lease commercial term agreement using ijarah scheme, which we expect to reflect our operational costs more ideally, particularly aircraft lease, in financial report of the company,” Setiaputra added during the public expose yesterday (11/11).

According to Setiaputra, this new lease commercial term agreement is expected to boost the foundation of financial performance through proportional reporting. This step, in the long run, may improve its equity.

So far, said new lease commercial term agreement has been obtaining approval for at least 10% of GIAA’s total aircrafts, and the number is estimated to continue to multiply at the end of this year.

It is also mentioned that this ijarah scheme will complete the strategy to support corporate performance, which has been currently optimised by the company at the end of 2024.

In addition to this, global partnership, formed with Japan Airlines dan Singapore Airlines, is also projected to be the catalyst in strengthening the presence of Garuda Indonesia in the global market.

Regarding the additional 4 aircrafts, Setiaputra said that the implementation of this plan will begin in Q4 2024, with 2 units of narrow body B737-800NG, as well as the other 2 narrow-bodied aircrafts, which undergo negotiation phase. (LK/ZH)