2027 Hajj Cost Scheme: Commission Warns Populist Policy Could Trigger Financial Crisis

The Ministry of Hajj and Umrah has published a draft scheme for the 2027 regular Hajj season, setting the cost at Rp 107 million with a 40:60 ratio. Under this plan, 40 percent (Rp 43 million) is borne by the pilgrim, while 60 percent (Rp 64 million) is subsidised from the returns on Hajj funds managed by the Hajj Financial Management Agency (BPKH).

According to the Chairman of the National Hajj Commission (Komnas Haji), Mustolih Siradj, a detailed breakdown shows that a subsidy of Rp 64 million per pilgrim, multiplied by 203,000 pilgrims, results in a staggering total of Rp 13 trillion.

While the policy of minimising costs for pilgrims will be seen as highly populist and pro-pilgrim, a deeper analysis reveals many sacrifices and potential problems. “This scheme is identical to a Ponzi scheme, benefiting pilgrims who depart earlier. These pilgrims enjoy large subsidies, but it poses a risk of loss for those departing later,” Mustolih told Republika on Tuesday (14/3/2026).

Mustolih stated that providing super-jumbo subsidies could trigger a Hajj financial crisis or even collapse, as the returns are drained solely to fund 203,000 regular pilgrims. He noted that, according to the Hajj Finance Law and Government Regulation Number 5 of 2018, the value of the benefits must be distributed not only to departing pilgrims but also to the 5.3 million people on the waiting list and for BPKH’s operational costs. “Moreover, this subsidy figure is higher than BPKH’s target for managed returns, which is set at Rp 12 trillion,” he added.

Mustolih further questioned the sustainability of such subsidies for pilgrims in subsequent years, asking whether they would receive the same level of support. He highlighted the most severe risk: if the Saudi Arabian government drastically increases Indonesia’s Hajj quota, potentially to 400,000–500,000 pilgrims per season as outlined in Saudi Vision 2030.