Jakarta. Indonesia’s sovereign wealth fund Danantara is targeting completion of a state airline holding company in the first half of this year, bringing together Garuda Indonesia, its low-cost subsidiary Citilink, and Pelita Air Service, which is owned by energy firm Pertamina.

Rohan Hafas, managing director of stakeholder management at Danantara, said on Thursday that the consolidation aims to improve efficiency and optimize booking systems across the three carriers.

According to Rohan, integrating services would allow for a unified booking system and loyalty program.

“Merging Pelita, Citilink, and Garuda would allow for one booking system, one Garuda point program, shared mileage, unified registration, and even interchangeable seating. That would certainly make operations more efficient,” he said.

The merger is also expected to address fleet limitations faced by the airlines individually, particularly on overlapping routes.

“The combined fleet would be larger. Take the popular Jakarta–Surabaya route, where Citilink, Pelita, and Garuda all operate. Why not serve it under a single entity?” Rohan said.

Through booking integration and operational cooperation, Danantara hopes to generate additional revenue, especially for Garuda Indonesia, which continues to work on strengthening its financial performance.

“Hopefully it can be finalized in the first half of 2026, because this is crucial to generating extra income without adding aircraft,” Rohan said.

However, he acknowledged that the final structure of the holding remains under discussion.

“Whether it will take the form of a merger or another structure is something we must decide soon. It requires careful calculation — accounting and merger issues are not simple,” he added.