Garuda Indonesia (GIA) and Singapore Airlines (SIA) received the green light from the Competition and Consumer Commission of Singapore (CCCS) for their commercial joint venture agreement on Friday (Jul. 5). This approval paves the way for the two airlines to...
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Garuda Indonesia (GIA) and Singapore Airlines (SIA) received the green light from the Competition and Consumer Commission of Singapore (CCCS) for their commercial joint venture agreement on Friday (Jul. 5). This approval paves the way for the two airlines to enhance their strategic partnership across a broader spectrum of commercial activities, promising significant benefits to both Indonesia and Singapore.
The collaboration could see the airlines operating joint revenue-sharing flights between the two nations, synchronising flight schedules to provide travellers with more options and seamless connectivity, and embarking on joint sales and marketing initiatives that offer greater value to their customers.
“We are very pleased to receive this approval, as it marks significant progress towards our commitment to enhance service quality as well as broaden both Garuda Indonesia and Singapore Airlines’ networks through a deepening partnership,” stated Irfan Setiaputra, President and Chief Executive Officer of Garuda Indonesia.
“The joint venture initiative that we are preparing today has been one of the strategies to ensure extensive value creation for our loyal customers. Having regulatory approval as the first step in a commercial agreement will provide more opportunity for developing well-executed strategic ideas.”
“Moreover, we hope that this joint venture agreement can provide seamless services for passengers with more flight schedule options and ease in earning and redeeming mileage. Also, this collaboration may deliver concrete action to contribute to boosting Indonesian tourism activities, which will support the post-pandemic economic recovery progress,” he added.
Goh Choon Phong, Chief Executive Officer of Singapore Airlines, remarked, “The robust strategic partnership between Garuda Indonesia and Singapore Airlines has enabled us to broaden our codeshare services over the last few years, offering our customers more choices on flights. With the CCCS’s approval, we are poised to deepen our collaboration across a wider scope of commercial activities.”
“Along with the ongoing work to strengthen the links between our frequent flyer membership programmes, this will provide our customers with even more options and enhanced value. This partnership underscores both airlines’ commitment to improving connectivity between Indonesia and Singapore and beyond, boosting both business and leisure travel, and contributing to economic growth.”
Since the agreement to deepen their partnership in May 2023, Garuda Indonesia and Singapore Airlines have been developing initiatives, such as allowing GarudaMiles and KrisFlyer members to earn and redeem miles on codeshare routes and engaging in joint marketing efforts to promote tourism activities.
Currently, both airlines codeshare on numerous flights, including routes between Singapore and the Indonesian cities of Bali, Jakarta, Medan, and Surabaya, as well as long-haul routes between Singapore and Johannesburg, London (Heathrow), and Mumbai.
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