Indonesia’s Sriwijaya Air plans to resume expansion as Nam Air adds turboprops

Indonesia's third largest airline group, Sriwijaya, is planning to resume expansion in 2015 as conditions improve in Indonesia's domestic market. Sriwijaya plans to add four 737-800s in 2015 and is close to placing an order for up to 30 new turboprops which will be operated by its regional subsidiary Nam Air.

Sriwijaya adopted a dual-brand strategy in 2013 with Nam being used as a full-service regional carrier. At about the same time Sriwijaya tried to move up market by introducing a business class.

But Nam has not expanded since launching in late 2013 while Sriwijaya shrunk in 2014. Sriwijaya is now again adjusting its strategy by removing business class.