Indonesian Political, Business & Finance News

Minister Emphasises Prudence in Setting 2027 Hajj Costs

| | Source: MEDIA_INDONESIA Translated from Indonesian | Economy
Minister Emphasises Prudence in Setting 2027 Hajj Costs
Image: MEDIA_INDONESIA

Minister of Hajj and Umrah (Menhaj) Mochamad Irfan Yusuf has affirmed that the drafting of the Hajj Organising Costs (BPIH) for 1448 H/2027 is being carried out carefully, taking into account various factors affecting the cost of hajj administration. A number of service components that have seen increases pose a challenge in drafting next year’s hajj costs.

According to the Minister, the drafting of the 2027 BPIH cannot be separated from global dynamics, namely fluctuations in the US dollar exchange rate, rising aviation fuel prices, and service tariff adjustments by the Saudi Arabian government.

“When we began calculating the BPIH, conditions changed quite quickly. The dollar exchange rate moved, aviation fuel prices rose, and the Saudi Arabian government also increased several service components. All of this must certainly be factored into the calculation for next year’s hajj,” the Minister said in a statement on Friday (10 July).

He explained that most of the requirements for organising the hajj use foreign currency, so changes in exchange rates and flight costs have a significant impact on the total budget. Meanwhile, tariffs for several services for pilgrims whilst in Saudi Arabia have also been adjusted.

Nevertheless, the government will not immediately pass the entire cost increase on to prospective pilgrims. According to the Minister, various schemes are being studied so that service quality is maintained whilst costs remain affordable.

“Adjustment does not mean we simply pass on the entire increase to pilgrims. The government continues to seek the best formulation so that services remain protected, whilst the costs borne by pilgrims stay within rational limits,” he said.

Furthermore, the Minister said the drafting of the BPIH must strike a balance between the financial sustainability of hajj administration and the public’s ability to pay for the pilgrimage. Efficiency, he said, will continue to be pursued in components that can still be optimised, without diminishing safety, comfort or service quality.

“The principle is that we must be realistic about cost increases, but remain on the side of the pilgrims. We will continue to pursue efficiency, but that efficiency must not reduce the basic services and protections that are pilgrims’ rights,” he said.

The Minister added that the results of the evaluation of the 1447 H/2026 hajj will serve as one of the foundations for drafting the cost structure for the following year. The entire process of setting the BPIH, he continued, will be conducted transparently and accountably, with due consideration of pilgrims’ interests.

View JSON | Print