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Strategic partnerships key to Indonesia’s soaring aviation industry
To cement its status as a true aviation hub, Indonesia must address critical challenges in infrastructure and workforce development.
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Prospective airplane passengers queue to enter terminal 1A of Soekarno Hatta Airport on Dec. 21, 2024, in Tangerang, Banten. (Antara Foto/Muhammad Iqbal)
I
ndonesia sits at the heart of one of the world’s fastest-growing aviation markets. With 685 million people in Southeast Asia and proximity to powerhouse economies like China, Japan and South Korea, the nation is primed to become a major player in global aviation.
The rise of homegrown giants including Lion Air, Southeast Asia’s largest airline, is proof of Indonesia’s potential. But to cement its status as a true aviation hub, Indonesia must address critical challenges in infrastructure and workforce development.
Aviation is a strategic sector that drives tourism, trade and industrialization. With over 680 airports across the archipelago, air travel has become essential for connecting remote islands, attracting investment and ensuring the smooth flow of goods. In 2023 alone, Indonesia’s airlines transported more than 111 million passengers and nearly one million tonnes of cargo.
Beyond transportation, the aviation sector is fueling industrialization – one of President Prabowo Subianto’s key priorities. A robust network of manufacturers and suppliers has emerged to service the country’s growing fleet, spurring the development of industrial hubs like Batam.
Given these strengths, Indonesia can now address some historic challenges.
Its largest airport in Jakarta lags Singapore and Bangkok in passenger traffic, and the country faces a pressing shortage of skilled aviation professionals. Addressing these issues is critical to unlocking Indonesia’s full aviation potential.
Indonesia has 17 international airports, yet most international flights still funnel through only two: Jakarta and Bali. This over-concentration strains existing infrastructure and limits connectivity to other key regions.
