PT Garuda Indonesia Tbk (GIAA) is at the edge of the abyss. The Government and the board of directors’ efforts to rescue the flag carrier have not been enough to solve the many problems in the Company. As of this week, the Company’s overall debt has reached Rp70 trillion, with the potential for an increase in debt of Rp1 trillion every month. The Government already has four options for the Company’s rescue, one of which is to apply for a voluntary Suspension of Debt Payment (PKPU) process through the court. Said plan is risky because if the PKPU is not resolved amicably within the specified time limit, Garuda Indonesia will go bankrupt. Said option became a source of commotion in a hearing between the Garuda Indonesia directors and the House of Representatives on June 21, 2021.
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