Indonesian Political, Business & Finance News

Haj fee expected to double if rupiah fails to stabilize

| Source: JP

Haj fee expected to double if rupiah fails to stabilize

JAKARTA (JP): The price of the haj pilgrimage to Saudi Arabia
will double to more than Rp 16 million per person next year, and
may exceed Rp 20 million if the rupiah fails to stabilize,
Minister of Religious Affairs Tarmizi Taher said.

Tarmizi was quoted by Antara as saying that since 97 percent
of haj costs were denominated in dollars, the increase next year
was unavoidable.

The price -- which covers return airfares, food and lodgings
for 40 days and transportation in Saudi Arabia, spending money in
Saudi real, and some local costs incurred in Indonesia -- is
equivalent to US$3,200 per person.

He said the fee would be more than Rp 16 million in 1999 if
the rupiah stabilized at Rp 5,000 to the dollar, but could exceed
Rp 20 million if the currency remained at its present levels of
between Rp 9,000 and Rp 10,000.

Tarmizi said the number of Indonesians joining the pilgrimage
in 1999 could decline by as much as 25 percent from the 200,000
people registered this year because of the higher costs. But he
expected the number would pick up again in 2000.

The haj fee for this year is Rp 8.8 million, which was set by
the government in August just before the rupiah began its free
fall.

The 200,000 places allocated for Indonesian pilgrims by the
Saudi Arabia government were quickly taken up when registration
was opened in September. Everyone paid their fees in full.

The government, which organizes the trip for Indonesian
pilgrims, will begin flying them out in the first week of March.

The government has promised not to charge the pilgrims any
additional money despite the drop in value of the rupiah against
the U.S. dollar.

Tarmizi said the soaring costs should not dampen the
aspirations of Indonesian Moslems to take part in the haj
pilgrimage.

"People save up for years to make the pilgrimage." (emb)

View JSON | Print