It come after Air New Zealand announced it would restart a seasonal Auckland to Bali service this year.

New Zealand's Ambassador to Indonesia David Taylor said the deal was a "game changer" for the relationship between the two countries.

"(It will) offer real benefits to both countries through greater business, tourism and education travel."

In February Garuda ordered 230 new aircraft from Boeing in a $US22.4 billion deal which includes 11 new A330 wide-body jets.

Prime Minister John Key, Trade Minister Tim Groser and a 26-strong business delegation are in Jakarta for a three-day trade mission aimed at boosting exports, as well as education and aviation services, to Indonesia.