Flag carrier Garuda Indonesia defaults on $500m sukuk

Flag carrier Garuda Indonesia defaults on $500m sukuk

Workers clean the body of a Garuda Indonesia Airbus A320 aircraft inside Hangar 4 of PT Garuda Maintenance Facility (GMF) Aero Asia at Soekarno-Hatta airport in Jakarta.

Flag carrier Garuda Indonesia said it could not distribute coupon payments for its $500 million sukuk after a 14-day grace period, with the airline‘s finances still significantly impacted by the coronavirus pandemic.