Under President Bola Ahmed Tinubu’s leadership, Nigeria’s Aviation sector has seen substantial changes that are a result of a combination of strategic alliances, Infrastructure advancement, and regulatory changes. Despite ongoing economic difficulties, the administration’s dedication to reviving the industry has been demonstrated by significant achievements. The federal government is prepared to expand airport concessions in 2025, enlisting the Private Sector to help Finance airport improvements. Festus Keyamo, the Minister of Aviation and Aerospace Development, reiterated the administration’s vision during a recent stakeholders’ gathering in Lagos with the topic “Transforming the Aviation Industry through Strategic Partnerships.”
He revealed plans to refurbish Lagos International Airport, although the financing model is yet to be finalized. Regardless of the funding source, the airport concession is still a top priority to ensure improved management and operational effectiveness. The administration’s steadfast support for domestic airlines has been one of its outstanding accomplishments. With 23 thriving domestic carriers, Nigeria is unique among African nations in that the Airline industry is largely operated by private companies. Keyamo underlined that the government is committed to safeguarding these airlines by implementing laws that encourage expansion and sustainability.
Stakeholders align on aviation sector transformation.
Key industry players gathered at the stakeholders’ meeting in Lagos to align on the sector’s future. Keyamo underlined the significance of collaboration in advancing reforms with the ultimate objective of repositioning Nigeria’s aviation sector for global competitiveness. The administration’s forward-thinking policies and infrastructure expenditures is set to reshape the aviation landscape, which will make the sector more effective, transparent, and investor-friendly. In accordance with President Tinubu’s direction for timely salary payments and the reformation of the civil service, the minister has reaffirmed placing a high priority on the Welfare of aviation workers.
Keyamo underlined the administration’s resolve to reposition Nigeria’s aviation sector for global competitiveness, leveraging innovation, cooperation, and strategic reforms. He has also vowed to clamp down on illegal charter operations by private jet owners, pledging to safeguard the sector from exploitation. As the journey progresses, the Tinubu administration’s dedication to strategic alliances and Innovation promises a better future for Nigeria’s aviation sector, one that will not only improve connectivity but also make a substantial contribution to the country’s economic development.
Major reforms spark positive turnaround in 2024.
While the administration’s foreign exchange strategy, which was implemented in 2023, provided much-needed respite to the sector, issues including the depreciation of the naira, a lack of foreign exchange, and the escalation of fuel prices persisted in impeding operations. Many Nigerian airlines were forced into expensive wet leases and strict contractual restrictions with lessors as a result of their difficulties obtaining aircraft, performing maintenance overseas, and obtaining foreign exchange. Looking back, 2023 was a difficult year for the aviation sector, with few noteworthy successes. The concession of airport terminals was processed but never came to fruition, and the much-anticipated debut of a national carrier was canceled.
However, 2024 brought about a dramatic turnaround. In collaboration with Nyesom Wike, the Minister of the Federal Capital Territory (FCT), the administration took a risk by building a second runway at Abuja’s Nnamdi Azikiwe International Airport. The release of international airlines’ trapped funds, which at one point totaled over $800 million, was a historic accomplishment. Through Keyamo’s efforts, the Tinubu administration was able to successfully liquidate these funds, which helped international airlines regain confidence in Nigeria’s aviation industry.
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Another significant milestone was the launch of Air Peace’s flight service to London, which will commemorate its one anniversary in March 2025. The administration’s dedication to empowering Nigerian carriers, generating employment, and boosting competitiveness is evident in the service’s flawless operation. Another noteworthy accomplishment was Nigeria’s adherence to the Cape Town Convention (CTC). Nigeria’s global rating was raised from 49 to 70.5 in September 2024 by the Aviation Working Group, which was co-chaired by Boeing and Airbus. Nigerian airlines can now access foreign financing facilities at competitive rates and lease aircraft on long-term dry leases thanks to this compliance.