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View all search resultsState-Owned Enterprises Minister Rini Soemarno said her ministry planned to find a solution for debt-ridden carrier PT Merpati Nusantara Airlines (Merpati) in the next three weeks
tate-Owned Enterprises Minister Rini Soemarno said her ministry planned to find a solution for debt-ridden carrier PT Merpati Nusantara Airlines (Merpati) in the next three weeks.
'[Finding solutions for] Merpati is hard. But from the very first day that I started leading this ministry, I've been thinking about the airline. We plan to hold a meeting with [Finance Minister] Bambang Bojonegoro, [Transportation Minister] Ignasius Jonan and people from the Office of the Coordinating Economic Minister to find solutions,' Rini said in Jakarta on Tuesday.
She admitted that it was hard for the airline to compete with other airlines operating in the archipelago as competition was tight and Merpati had halted its operations in February this year.
In addition, the carrier was unable to find ways to pay its mounting debts, which have reached Rp 6.7 trillion (US$549.4 million), particularly to state- owned oil and gas firm Pertamina.
'We are going to analyze this issue and we are aiming to find solutions in the next two to three weeks,' she said.
The government decided to temporarily halt Merpati's operations in February after the troubled carrier failed to resolve its financial difficulties.
The Transportation Ministry froze the airline's the Air Operator Certificate (AOC) on Feb. 10. (***)
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