The lack of critical infrastructure and trained personal in Indonesia could hold back the growth of the country’s airlines that are poised for rapid growth. Passenger traffic is expected to double within five years but without substantial improvement in infrastructure, the is a risk that this growth could be curtailed.
Jakarta’s main hub, Soekarno-Hatta International Airport, was built to handle 22 million passengers but last year, it served more than 50 million. Inadequate radio communications and crew shortages will also become a severe problem in the near term future if investment is not made, say analysts.
According to Standard & Poor’s, the country will need to invest as much as $5 billion in maintenance, repair and infrastructure before 2015.
Indonesia infrastructure holding back airline growth
