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Indonesia to Encourage Low-cost Airlines to Boost Tourism

Indonesia to Encourage Low-cost Airlines to Boost Tourism

The executive is currently drafting a regulation to provide incentives, agreed with the National Association of Airlines of Indonesia (Inaca), said the minister.

The facilities include issuing permits to expand the operations of low-cost carriers, which will allow them to expand their routes and reach more regions of the country, he added.

We are also negotiating with the state energy company Pertamina a decrease in the price of fuel to help reduce the operation costs of these companies, noted Budi.

The minimum and maximum prices of airline tickets are also on the conversation table with the aim of creating healthy competition between airlines.

Tourism is an important pillar of the Indonesian economy and a great source of income.

More than three million tourists arrived in that Asian archipelago in the first quarter of the year, a growth of 14.8 percent over the same period of 2017, the Central Statistics Agency recently revealed.

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