Indonesian Political, Business & Finance News

Facing Rise in Avtur Prices, BPKH Affirms Commitment to Consistent Risk Mitigation

| | Source: REPUBLIKA Translated from Indonesian | Finance
Facing Rise in Avtur Prices, BPKH Affirms Commitment to Consistent Risk Mitigation
Image: REPUBLIKA

The Head of the Hajj Financial Management Agency (BPKH), Fadlul Imansyah, has affirmed that Hajj financial management is conducted with a focus on the principles of sustainability and continuity to guarantee stable long-term financing amid the lengthy queue of pilgrims. Every policy, including responses to global dynamics such as the rise in world oil prices, adheres to principles of prudence and prevailing regulations to maintain the quality of Hajj worship services.

“In facing potential cost pressures, BPKH consistently conducts risk mitigation through strengthening liquidity, diversifying investments, improving asset quality, and enhancing risk management, including anticipation of exchange rate volatility,” Fadlul told Republika on Thursday (2/4/2026).

He added that optimising the value of benefits is also possible to maintain affordability for pilgrims, while still considering fund sustainability and carried out cautiously based on agreements between the government and the DPR.

Regarding air transportation costs, Fadlul stated that BPKH views the rise in avtur prices due to fluctuations in world oil prices as a factor that needs to be monitored. However, the determination and negotiation of Hajj flight contracts is the authority of the government together with the airlines. In this regard, BPKH’s role is to ensure funding readiness in accordance with the established contracts.

“With anticipatory steps and prudent financial management, BPKH ensures that every cost dynamic can be responded to in a measured manner, so that financing stability and the smooth running of Hajj worship remain maintained,” he said.

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