Jakarta (VNA) – Indonesia’s State-Owned Enterprises (BUMN) has revealed that airport operator company PT Angkasa Pura I (API) owes a debt of 35 trillion IDR (over 2.4 billion USD) due to low traffic at the airport amid the COVID-19 pandemic.

According to BUMN Deputy Minister Kartika Wirjoatmodjo, monthly API losses amounted to 200 billion IDR. If the situation does not improve, the debt is estimated to reach 38 trillion IDR.

He explained that the company’s cash flow was also weighed down by the large number of new airports following the inauguration of the COVID-19 pandemic. Tiko gave an example of the Yogyakarta airport in Kulon Progo, which was built at a cost of 12 trillion IDR but was empty of passengers.

Therefore, currently, BUMN is looking for a solution through debt restructuring and efficiency. He targets the restructuring to be completed in January next year.

The official made this statement in response to a request to postpone the rationalization of a number of security officers (security) at the API managed airport, I Gusti Ngurah Rai Airport, Bali.

Earlier on November 9, he said that PT Garuda Indonesia (Persero) was technically bankrupt with its debt reaching 9.75 billion USD.

Not only debt that has accumulated, the state-owned airline is also recorded to have an equity of minus 2.8 billion USD, he said. Since the COVID-19 pandemic broke out, its income has dropped to about 70 million USD per month compared to 235 million USD per month in 2019, he added./.