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Indonesia to keep ban on foreign airlines SINGAPORE - Indonesia will continue to ban foreign budget airlines from landing at its four main airports, a senior transport official said Wednesday. Airports in Jakarta, Surabaya, Medan and Denpasar will remain closed to foreign budget airlines and the policy isn't being reviewed, Indonesia's director of air transport Santoso Eddy Wibowo said at an aviation conference in Singapore.

Officials imposed the ban in early 2005 to protect state-owned airline PT Garuda Indonesia from competition. Singapore retaliated by slapping a similar ban on Indonesian low cost carriers flying into the city-state. The Indonesian decision hurt the growth plans of Singapore budget airlines Jetstar Asia Ltd., which is part owned by Qantas Airways Ltd., and Tiger Airways Ltd., an offshoot of Singapore Airlines Ltd.

Singapore's no-frills carrier Valuair, which merged with Jetstar Asia in the middle of last year but has retained its own branding, was not affected as it was already flying to Jakarta before Indonesia imposed the ban.



Posted in General @ 18 January 2006 18:47 CET by Jeroen · 'Blog' RSS feed · permalink






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