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Surging Haj Costs Amid Fuel Price Spike and Currency Decline

Surging Haj Costs Amid Fuel Price Spike and Currency Decline

Post by : Shakul

In Indonesia, the haj pilgrimage costs for 2026 are rising significantly, driven by escalating jet fuel prices and a depreciating rupiah.

Analysts and lawmakers predict the financial impact could reach as high as Rp 1 trillion, primarily due to increasing aviation fuel rates and currency instability linked to tensions in the Middle East.

Economists are advising the government to intervene, proposing discussions with airlines and providers in Saudi Arabia to lower operational costs.

Experts caution against over-relying on the Haj Financial Management Agency's funds, contributed by current and prospective pilgrims, as it could lead to future financial burdens.

With jet fuel prices climbing about 70% and the rupiah weakening to over Rp 17,000 against the U.S. dollar, costs for airfare, accommodation, food, transportation, and insurance are anticipated to rise.

Government officials are looking into subsidy options to relieve the financial strain on pilgrims, which might include aiding domestic airfare and associated services.

Despite the escalating haj costs, the umrah sector, operated by private companies, continues to thrive, maintaining steady demand amidst rising expenses.

April 10, 2026 5:34 p.m. 325
Asia News Indonesia News Economy Business

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