Indonesia gives cash to charter operators

Silangit Airport is currently undergoing upgrading. Credit:

The Indonesia Ministry of Tourism is offering cash as incentive for charter operators to open new routes to the archipelago.

A decree issued by the ministry in August stipulated that the incentive, available until December 31, is given to the airline or travel company (charterer) who bring tourists either from a new original city in other countries or to a new destination in Indonesia.

Silangit Airport is currently undergoing upgrading. Credit:

Each charter flight must stay a minimum of three nights for travellers from ASEAN countries and Asia, and 11 nights for travellers from Europe and the US.

The incentive amount ranges from US$15 to US$25 per passenger depending on the origin of the flight and the length of stay.

I Gde Pitana, deputy minister for international marketing development, Ministry of Tourism, said: “For the first time ever, the Ministry of Finance has approved (our) proposal to give incentives to the (private sector) in the form of cash.”

Usually government agencies only support the programmes of the private sector, for example, by doing joint marketing.

“Our aim is to widen the market origins and (open new) destinations in Indonesia,” he said.

As part of the development of 10 ‘New Bali’s’, the government has been developing and upgrading airports in various cities in the country.

Some airports are being upgraded to international gateway status. They include H.A.S. Hanandjoeddin International Airport in Tanjung Pandan, Belitung, and Silangit in North Sumatra, which is targeted for launch on October 28. Both destinations are among the 10 New Bali’s.

While charter flights are expected to fly to these new destinations, the minister’s decree does not limit the incentives to only the 10 destinations.

Sponsored Post