Nigeria’s quest for a national carrier has been a long and winding road, filled with twists and turns. The latest development in this saga is the Federal Government’s announcement that the Nigeria Air project remains suspended indefinitely. The idea of a national carrier for Nigeria dates back to the 1970s, when the country’s first national air shuttle, Nigeria Airways, was established. However, the Airline struggled financially and operationally, leading to its eventual liquidation in 2003. The airline’s demise was attributed to a combination of factors, including poor management, inadequate funding, and intense competition from foreign airlines.
In 2018, the Federal Government, under President Muhammadu Buhari, announced plans to revive the national carrier, with the aim of creating a world-class air shuttle that would showcase Nigeria’s rich Cultural Heritage and promote economic growth. The project was touted as a public-private partnership, with the government holding a 5% equity stake and private Investors holding the remaining 95%. However, the project was met with controversy from the outset. In 2023, the Ministry of Aviation, under Hadi Sirika, unveiled Nigeria Air, with Ethiopian Airlines holding a 49% equity stake, the Federal Government holding 5%, and a consortium of three Nigerian investors holding 46%.
Ownership structure of the carrier not beneficial to Nigeria.
This ownership structure raised eyebrows among stakeholders, who questioned the wisdom of giving a foreign airline such a significant stake in the national air shuttle. The House of Representatives was among those who expressed concerns, describing the deal as a “fraud” and calling for the suspension of the project. In August 2023, the Minister of Aviation and Aerospace Development, Festus Keyamo, announced that the national carrier project was suspended till further notice.
Keyamo has reiterated that the ownership structure of the suspended airline is not beneficial to the country, stating that “Nigeria Air must be indigenous, it must be wholly Nigerian, and must be for the full benefit of Nigeria, not that 60% of the profit is for another country.” He emphasized that the government is committed to creating a national carrier that is truly Nigerian, and that the current ownership structure does not meet this criteria.
Debate over the suspension of the national carrier.
The suspension of Nigeria Air has sparked a national debate about the role of government in the aviation sector and the need for a truly indigenous national airline. While some argue that the government should focus on creating a favourable business environment for private airlines to thrive, others believe that a national carrier is essential for promoting Nigeria’s economic and cultural interests. Proponents of a national air shuttle argue that it would provide jobs, stimulate economic growth, and promote Nigerian Culture and tourism.
They also point out that a national airline would give Nigeria a sense of pride and identity, and provide a platform for the country to showcase its rich cultural heritage to the world. On the other hand, critics argue that the government should not be involved in the aviation sector, and that private airlines should be allowed to operate freely without government interference. They also pointed out that the government’s track record in managing state-owned enterprises is poor, and that a national airline would likely be plagued by inefficiency, corruption, and mismanagement.
Related Article: Aviation minister suspends Nigeria Air
As the Federal Government continues to grapple with the challenges of creating a viable national carrier, one thing is clear: the journey to establishing a truly Nigerian airline will be long and arduous, but ultimately worth it for the benefits it will bring to the country and its people. In the meantime, Nigeria’s aviation sector continues to grow, with private airlines such as Air Peace, Arik Air, and Dana Air operating successfully in the country. However, the lack of a national carrier means that Nigeria is missing out on the economic and cultural benefits that a national airline would bring.