Indonesian Political, Business & Finance News

Legislator: 2027 Hajj cost increase must be rational and beneficial for pilgrims

| Source: ANTARA_ID Translated from Indonesian | Politics
Legislator: 2027 Hajj cost increase must be rational and beneficial for pilgrims
Image: ANTARA_ID

The increase of nearly Rp20 million must be examined component by component. Starting from the exchange rate, flights, accommodation, transportation, to services in Arafah, Muzdalifah, and Mina.

Member of Commission VIII of the Indonesian House of Representatives (DPR RI) Hetifah Sjaifudian said the proposed 2027 Hajj Pilgrimage Cost (BPIH) of Rp107.34 million per prospective pilgrim, an increase of nearly Rp20 million from the previous year, needs to be studied further so that it is rational and beneficial for pilgrims.

“This increase of nearly Rp20 million must be examined component by component. Starting from the exchange rate, flights, accommodation, transportation, to services in Arafah, Muzdalifah, and Mina,” she said during a meeting with the Ministry of Hajj and Umrah in Jakarta on Wednesday.

Therefore, the cost changes will be examined further by the BPIH Working Committee newly formed by Commission VIII of the DPR RI. She said the working committee was formed to examine the proposal, including the planned changes to the financing scheme.

These changes include a shift in composition from 62 percent direct pilgrim costs and 38 percent benefit value in 2026 to 40 percent direct pilgrim costs and 60 percent benefit value in 2027.

“We want the costs paid by pilgrims to be more affordable. But we must not let the relief for those departing now erode the benefit value and threaten the sustainability of funds for the millions of prospective pilgrims still waiting,” she said.

Going forward, Hetifah encouraged the working committee to test various financing scenarios while seeking efficiency points in the largest cost components. According to her, the most important thing is not finding the cheapest Hajj, but ensuring reasonable costs and quality services.

Minister of Hajj and Umrah Mochammad Irfan Yusuf said the adjustment to the 2027 BPIH amount was made, among other things, to improve the quality of services for pilgrims.

According to him, the BPIH adjustment was made while still paying attention to the principles of efficiency and effectiveness in determining cost components so that the Hajj pilgrimage can be carried out properly at a reasonable cost.

In the 2027 BPIH proposal, the government set the cost component charged directly to prospective Hajj pilgrims at Rp42,936,068.81 or 40 percent. Meanwhile, Rp64,404,103.21 or 60 percent comes from the benefit value fund managed by the Hajj Financial Management Agency (BPKH).

In preparing the 2027 BPIH draft, the Minister continued, the government used an exchange rate assumption of Rp17,500 per US dollar and Rp4,666.67 per Saudi Riyal.

Of the various cost components, the government proposed that the living allowance component for Indonesian Hajj pilgrims remain at 750 Saudi Riyals, the same as the previous year. Meanwhile, the flight cost component is one of the factors that has undergone adjustment. The government proposed that flight costs increase from the previous Rp32,012,885 to Rp40,529,919 due to the increase in aviation fuel prices.

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