Jakarta. Indonesia has proposed a higher cost for performing the Hajj in 2027, driven in part by a sharp increase in airfare, as rising jet fuel prices, a weaker rupiah and geopolitical tensions in the Middle East push up pilgrimage expenses.

The government has proposed an average Hajj implementation cost, or BPIH, of Rp107.34 million ($6,019) per pilgrim for 2027, up about 23% from the Rp87.41 million set for 2026.

The proposal was presented by Hajj and Umrah Ministrr Mochammad Irfan Yusuf during a meeting with the House of Representatives’ Commission VIII in Jakarta on Wednesday.

The proposed increase comes as the government seeks to maintain service quality for Indonesian pilgrims while keeping the pilgrimage financially sustainable.

Air travel is one of the biggest contributors to the higher proposed cost.

The government has proposed allocating Rp40.53 million per pilgrim for flights in 2027, up from Rp32.01 million in 2026 — an increase of about 27%.

Irfan said higher aviation fuel prices and the depreciation of the rupiah against the US dollar were among the factors behind the increase.

Geopolitical tensions in the Middle East are also being taken into account because they can affect global oil prices and, in turn, airline operating costs.

The government has assumed an exchange rate of Rp17,500 per US dollar when calculating the 2027 Hajj budget. The Saudi riyal is assumed at Rp4,666.67.

The living allowance for pilgrims is set at 750 Saudi riyals, unchanged from the previous year.

Pilgrims to Pay Less Under New Financing Scheme
The overall Hajj cost rises by about 23%, but the amount paid directly by each pilgrim falls by about 21% because the government proposes increasing the share funded by government-managed investment returns from 38% to 60%.

Under the proposed financing structure, Indonesian pilgrims would directly pay Rp42.94 million per person, equivalent to 40% of the total Hajj cost.

The remaining 60%, or Rp64.40 million per pilgrim, would be funded through the value of benefits managed by the Hajj Financial Management Agency (BPKH).

The proposed split represents a major change from the 2026 financing structure, under which pilgrims paid 62% of the cost (Rp 54.19 million) while 38% was covered by BPKH-managed investment returns.

“The government proposes an average BPIH of Rp107.34 million per pilgrim, with the Bipih component at Rp42.94 million, or 40%, and the value of benefits at Rp64.40 million, or 60%,” Irfan said, according to state news agency Antara.

BPIH refers to the overall cost of organizing the Hajj, while Bipih is the portion paid directly by individual pilgrims.

The proposed financing formula is intended to balance the higher cost of providing pilgrimage services with the government’s effort to keep the amount paid directly by pilgrims manageable.

The proposed 2027 Hajj cost will be subject to discussions between the government and parliament before being finalized.

The government said the calculation takes into account improvements in services for pilgrims as well as efficiency and effectiveness in organizing the annual pilgrimage.

Indonesia is expected to retain a Hajj quota of around 221,000 pilgrims for 2027, based on the timeline issued by Saudi authorities and the quota used in the previous year.

Indonesia has the world’s largest Muslim population and typically receives one of the largest Hajj quotas from Saudi Arabia. Demand for the pilgrimage substantially exceeds the available quota, resulting in long waiting periods for prospective Indonesian pilgrims.

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