Garuda's Citilink to expand at Jakarta Halim and Medan as domestic market share approaches 15%

Garuda Indonesia budget subsidiary Citilink is planning to expand at Jakarta Halim and Medan over the next two months as it continues to pursue market share gains, despite challenging conditions. Citilink accounted for approximately 12% of Indonesia's domestic market in 2015, compared with 3% in 2011, and should be able to capture nearly a 15% share in 2016.

Citilink passenger traffic grew by 24% in 2015 while its full service parent Garuda grew domestic passenger traffic by 10%. Both airlines have been gaining market share over the last two years while overall growth in Indonesia's once booming domestic market has slowed significantly.

The 2016 outlook is relatively challenging but Citilink, at least for now, plans to maintain a similar growth rate as 2015. The LCC also remains confident that it can stay in the black after turning its first-ever annual profit in 2015.