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FG Commits to Boost Local Airlines

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FG Commits to Boost Local Airlines

byBilkisu Kasim
May 26, 2025
in Business
0

 

The Federal Government has shifted its aviation policy direction, announcing a renewed commitment to strengthening indigenous airlines rather than pursuing the establishment of a national carrier.

This development was made public in Lagos by the Minister of Aviation and Aerospace Development, Festus Keyamo, during the unveiling of a new book authored by seasoned aviation journalist, Wole Shadare. The book is titled “100 Years of Civil Aviation in Nigeria: History, Issues and Prospects.”

Keyamo highlighted that the current administration under President Bola Tinubu is determined to foster a more enabling environment for Nigerian-owned airlines.

He said, “Recent policy reforms, including revised insurance regulations for leased aircraft, have made aircraft acquisition easier and are expected to help bring down airfares across the country.

“Our focus has shifted,” Keyamo stated. “We are now committed to promoting the growth of local operators through targeted policies.”

He further disclosed that the ministry is prioritising capacity-building initiatives such as the training and retraining of air traffic management personnel, plugging financial leakages, and driving operational improvements across the aviation sector.

In a related update, the minister also noted that nearly all international carriers flying into Nigeria are now adhering to the government’s directive to patronize local catering services for in-flight meals.

Additionally, he unveiled plans for the development of a smart airport, which awaits a green light from the presidency. Keyamo criticised the outdated infrastructure at the Murtala Muhammed International Airport’s old terminal, remarking that the facility has seen no significant upgrade since 1997 and needs to be completely overhauled.

During the same event, Olubunmi Kuku, Managing Director of the Federal Airports Authority of Nigeria (FAAN), spoke on the progress achieved in the aviation space. She shared that Nigeria is currently home to 39 certified airline operators, 31 airports, and more than 2,100 licensed pilots.

While noting the industry’s estimated $1.7 billion contribution to the nation’s GDP, she acknowledged persistent issues like aging infrastructure, regulatory bottlenecks, and financing challenges, but also encouraged investors to see these gaps as prospects for innovation and growth.

She said, “Nevertheless, this journey has not been devoid of turbulence. Upon Nigeria’s attainment of independence in 1960, we were faced with a pivotal question: How could we convert colonial-era infrastructure into a sovereign aviation powerhouse? Our national carrier, Nigeria Airways, emerged as a response, yet it soon faced challenges stemming from mismanagement and operational inefficiencies. By the early 2000s, we found ourselves at a crossroads—adapt or risk obsolescence.

“This juncture precipitated a remarkable transformation. The private sector took the initiative, introducing fresh capital, contemporary management practices, and a competitive spirit. Companies such as Air Peace and Arik Air did not merely fill the void—they revolutionised our aviation landscape. The current figures sum up this transformation: 39 certified airline operators, 31 airports nationwide, over 2,100 licensed pilots, a workforce comprising thousands, ranging from engineers to air traffic controllers.

“Nigeria has emerged as a testament to the efficacy of market-driven solutions. Our aviation sector now contributes approximately $1.7 billion to our GDP. Private airlines are connecting our cities with unprecedented efficiency, and international carriers increasingly regard Nigeria as a critical market. Last year, over 16 million passengers traversed our domestic terminals, while international passenger numbers exceeded 3.5 million. These figures are indeed impressive, yet there remains substantial potential for growth.”

Wole Shadare, author of the commemorative book, described the publication as an extensive 25-chapter work that thoroughly documents the evolution, setbacks, and promising future of Nigeria’s aviation sector over the last hundred years. He emphasized that the book is intended to serve as a key reference for academics and aviation professionals alike.

 

Bilkisu Kasim

Bilkisu Kasim

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