Transportation and logistics in Indonesia are sectors of great opportunity, but also pose immense challenges. As the economy booms and travel increases, related businesses grow and relevant infrastructure is built. Industries that are directly and indirectly involved in any of these activities, from airlines to construction companies, will benefit....
High-speed rail is unlikely to come to Indonesia any time soon, with attempts so far proving to be anywhere from impractical to impossible. Nevertheless, rail is an important part of the nation’s development and there is plenty of work to be done that could greatly benefit the country at a relatively low cost. Indonesia is focusing on projects of...
The Indonesian air transport industry has gone from an international pariah banned in the EU to one of the most interesting globally for airlines, manufacturers, travellers and investors. The economy is growing, leading to an increase in travel and higher capital expenditures in the sector, as the government makes efforts to strengthen players and...
Along with the boom in Indonesian aviation has come a realignment. While the country has 15 airports designated as international gateways, and direct flights have long been available on major routes, new connections are being opened between smaller airports in Indonesia and cities throughout ASEAN. The hub-and-spoke model is evolving into a more...
Faced with ever-growing congestion in the movement of people and goods across the archipelago, the government is clear that improving and diversifying Indonesia’s logistics network stands at the heart of its efforts to boost economic growth above 7%. Air passenger traffic has continued to grow, with the large domestic market flocking to the growing...
Domestic passengers have been the main drivers of growth in air transport for the past decade – more than 52m Indonesians were expected to fly domestically in 2011, around half of which on a single low-cost operator, Lion Air, which also runs Wings Air. Sustained competition in the low-cost segment has continued to keep rates low, while rising...
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