Middle East Tensions Add Pressure to 2027 Hajj Pilgrimage Costs

RRI.CO.ID, Jakarta - Rising flight costs are a key factor behind the proposed adjustment to the 2027 Hajj Pilgrimage Organizing Cost (BPIH).

The Indonesian government has suggested increasing the flight component from IDR 32,012,885 (approx. USD 1,829) to IDR 40,529,919 (approx. USD 2,316) per pilgrim, driven by higher aviation fuel prices and the rupiah’s depreciation against the US dollar.

Minister of Hajj and Umrah, Mochammad Irfan Yusuf, said geopolitical dynamics in the Middle East have also pushed global oil prices higher, contributing to higher flight costs.

The government has proposed an average BPIH of IDR 107,340,172.02 (approximately USD 6,013.45) per pilgrim for 2027.

The composition includes the Hajj Travel Cost (Bipih), paid directly by pilgrims, at IDR 42,936,068.81 (40 percent), and the “benefit value” derived from investment returns at IDR 64,404,103.21 (60 percent).

“The government has proposed a 2027 Hajj cost of IDR 107,340,172.02 per pilgrim. Prospective pilgrims would pay IDR 42,936,068.81 (40 percent) as Bipih, while investment returns (60 percent) would cover IDR 64,404,103.21,” Minister Irfan said during a working meeting with Commission VIII of the House of Representatives (DPR RI) at the Parliament Complex in Jakarta on Wednesday, August 19, 2026, as quoted by Antara.

The BPIH represents the total cost of organizing the Hajj pilgrimage and is funded by pilgrim deposits and the benefit value managed by the Hajj Financial Management Agency (BPKH). Under the proposed structure, pilgrims in 2027 would pay IDR 42,936,068.81, while IDR 64,404,103.21 would come from BPKH‑managed investment returns.

This differs from the 2026 financing structure, when the BPIH was set at IDR 87,409,365 per pilgrim, with 62 percent funded by pilgrim deposits and 38 percent by BPKH investment returns.

Minister Irfan said the 2027 proposal aims to improve service quality for pilgrims while maintaining efficiency and effectiveness. The government used exchange rate assumptions of IDR 17,500 per US dollar and IDR 4,666.67 per Saudi riyal when drafting the proposal.

Aside from flight costs, the government proposed maintaining the pilgrim living allowance at 750 Saudi riyals, the same as the previous year.

The government hopes deliberations with DPR RI on the 2027 BPIH proposal will align with the Hajj schedule set by the Government of the Kingdom of Saudi Arabia. ***