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Aviation industry needs Strategic Investment

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By Mercy Kelani

Updated infrastructure would facilitate improved service delivery.

Leading-Edge Aviation Services Limited’s managing director and co-founder, Victor Mgbachi, stressed that strategic investments and better regulations may fully fulfill the aviation industry’s immense potential in Nigeria. Speaking at a recent news conference, Mgbachi stated that although Nigeria’s aviation industry is poised for rapid expansion, overcoming obstacles and seizing possibilities will require cooperation between the public and private sectors. In order to draw in foreign Investment and boost regional competitiveness, he emphasized the significance of updating Nigeria’s aviation rules to conform to international norms.

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In order to enhance security, effectiveness, and the general traveler experience, Mgbachi also demanded that airport Infrastructure be urgently upgraded and expanded. Updated infrastructure would facilitate improved service delivery, cut down on delays, and manage growing passenger numbers—all of which would increase the industry’s allure. Mgbachi emphasized the importance of human capacity development and pushed for educational initiatives that would give workers the tools they need to be globally competitive. In order to improve passenger experience, safety, and efficiency, he also emphasized the advantages of implementing digital technologies.

Airport infrastructure quality is still a major problem.

He emphasized the need for developing a framework for Public-private Partnerships (PPP) to encourage investment and Innovation in the industry in order to propel growth. Mgbachi encouraged more action to reach the sector’s full potential while applauding the government’s efforts. Approximately 18 million passengers pass through Nigeria’s airports each year, making it one of the biggest in Africa, according to latest data. But the industry still confronts a lot of obstacles in spite of its size and potential. Airport infrastructure quality is still a major problem, with many operating antiquated facilities and subpar safety regulations compared to international norms.

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For example, a 2022 assessment published by the Nigerian Civil Aviation Authority said that several airports are in severe need of renovations due to antiquated machinery, inadequate upkeep, and a lack of capacity to accommodate rising passenger numbers. Outdated infrastructure is one of the main issues, as it has an impact on both passenger experience and operating efficiency. There are many airports in Nigeria that are still using antiquated Technology and lack basic amenities, which causes frequent delays in flights and raises safety concerns. Significant barriers to entry in the market are also posed by regulatory barriers, which include inconsistent regulations, protracted bureaucracy, and a lack of conformity with international standards.

Investments in contemporary infrastructure could address these problems.

There is also a skills gap in the aviation industry, with many workers lacking the Education and experience needed to operate cutting-edge equipment. By improving operational effectiveness and safety, suggested solutions like making investments in contemporary infrastructure could directly address these problems. As demonstrated in other emerging markets, strategic regulatory reforms targeted at streamlining approval procedures and harmonizing with international norms may draw in foreign investment. Nigeria may take inspiration from the effective changes other African nations have put in place. Ethiopia, for instance, has grown into a major aviation hub as a result of its well-timed investments in airport infrastructure and Ethiopian Airlines.

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With the Construction of the new Bole International Airport terminal, the Ethiopian government collaborated with private Investors to improve operational efficiency and expand passenger capacity. The government’s investments in RwandAir and the building of the cutting-edge Bugesera International Airport have also contributed to Rwanda’s aviation industry’s notable expansion, which is anticipated to increase travel and commerce even more. Regulation uncertainty and inadequate infrastructure are frequently mentioned by private investors and business analysts as entrance obstacles in the Nigerian market.

Related Article: Challenges Facing Air Transport in Nigeria

One of the major airlines in Nigeria, Air Peace, whose CEO is Allen Onyema, has frequently emphasized that the government should encourage local airlines more by offering financial incentives and advantageous legislation. Festus Keyamo, the Minister of Aviation, has said that government initiatives to update aviation navigation systems and enhance airport infrastructure are still in progress, despite these obstacles. Public-Private Partnerships (PPP), infrastructure modernization, digital technology adoption, human capital development, and safety standard enhancement are among the initiatives that stakeholders are urged to fund. Incorporating these suggestions might greatly enhance Nigeria’s aviation industry, establishing it as a prominent hub within the continent and capitalizing on its enormous potential for economic expansion.

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