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itilink, the low-cost arm of national flag carrier Garuda Indonesia, is eyeing 30 percent passenger growth this year, more than 20 percent higher than the expected passenger growth of the overall airline industry this year.

Citilink president director Albert Burhan said the optimistic expectation for growth was driven by increased passenger capacity thanks partly to an additional eight aircraft to arrive this year.

'€œWith the increasing company size, we expect growth in both frequency and passengers,'€ Albert said.

He said the airline regularly recorded passenger growth higher than the industry, with 80 percent growth in 2012 and 40 percent growth in 2013.

Last year, the airline carried 9.75 million passengers as of December, 14.8 percent short of its target of flying 11.2 million passengers, but still a 26 percent increase on the number of passengers in 2014.

He said the big woes during 2015 included forest fires and volcanic eruptions, which forced many airlines to cancel flights and airports to close.

Garuda Indonesia previously estimated losses amounting to US$8 million from the cancelation of flights.

The airline will welcome eight new Airbus A320 aircraft, to add to its existing fleet of 36, which will arrive at two-month intervals throughout the year.

They are estimated to cost the company around $400 million under operating lease scheme, according to Albert.

The aircraft will be used to increase the flight frequency on its routes around Java and Sumatra, as well as to aid its recent and future expansion into eastern Indonesia.

'€œWe have always focused on the western and central parts of Indonesia, and not yet on the east. But in 2016, we will go more to the east and to open international flight [routes],'€ he said.

The company opened new routes to cities like Manado in North Sulawesi, Palu in Central Sulawesi and Tarakan in North Kalimantan during October and November last year, in its bid to prepare for the launch of the upcoming ASEAN Open Sky policy.

The new routes include Jakarta to Manado and Balikpapan, East Kalimantan, to Tarakan.

These cities were chosen as they enjoyed higher economic growth than the national average, with Manado, Palu and Tarakan recording 7.4 percent, 9.6 percent and 6.03 percent growth consecutively.

'€œWe will add more routes to Papua and Maluku [this year],'€ he said.

However, the company declined to elaborate on its planned international expansion, which is currently limited to its chartered service.

'€œIt will be done in around the third or fourth quarter. But in this region, there has been overcapacity, which has caused problems for many foreign airlines. So if we come in at the wrong time, it will be bad for the company as well,'€ Albert added. (fsu)