Singapore Airlines and Garuda Indonesia have signed agreements to further strengthen their commercial partnership, including the launch of a reciprocal frequent flyer program and potential revenue sharing on flights between the two countries.
At a signing ceremony in Jakarta on May 20, the airlines’ CEOs inked a deal to allow members of their respective loyalty schemes, KrisFlyer and GarudaMiles, to earn and redeem miles on codeshare flights operated by both carriers.
A separate agreement was signed to explore joint venture revenue sharing for Singapore-Indonesia routes, subject to regulatory approvals. The airlines said this would support joint capacity growth as part of plans for a wider commercial partnership.
Singapore Airlines CEO Goh Choon Phong said the “win-win partnership” would improve connectivity between Indonesia and Singapore, helping to meet growing demand for air travel and facilitate tourism and economic growth.
“By deepening the synergies between our frequent flyer programmes, we can enhance the benefits for our loyal customers, offering them more opportunities to earn and redeem miles when travelling with both airlines,” Mr Goh said.
Garuda Indonesia CEO Irfan Setiaputra said the partnership was part of the airline’s efforts to improve its performance through strategic commercial tie-ups that provide added value to customers.
“This collaboration is also expected to not only provide added value for both airlines’ customers, especially through the ease of earning and redeeming miles for tickets and other exclusive benefits, but the hope is that it will strengthen Garuda Indonesia’s support for national tourism by providing more access to points in Indonesia for foreign tourists who will visit Indonesia via Singapore in the future,” Mr Irfan said.
The two airlines have a longstanding codeshare agreement that has expanded in recent months. Garuda Indonesia now places its code on Singapore Airlines flights between Singapore and the Indonesian cities of Bali, Jakarta, Medan, and Surabaya, as well as long-haul routes to Johannesburg, London Heathrow and Mumbai.
In turn, Singapore Airlines codeshares on Garuda Indonesia services between Singapore and Bali, Jakarta, and Surabaya.
The carriers said they are continuing joint marketing activities to promote tourism, potentially including familiarisation trips for travel trade and media to boost tourist traffic to Indonesia.
The deeper partnership comes as airlines look to rebuild international networks and tap into pent-up travel demand in the wake of the COVID-19 pandemic.
Indonesia, with its large population and growing middle class, is an attractive market for foreign carriers, while Singapore is a major hub for onward travel to destinations across Asia and beyond.
