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Why airlines pulled out of Nigeria –DG NCAA


Director-General of the Nigerian Civil Aviation Authority, NCAA, Capt. Muhtar Usman, has given insights into why some of the foreign airlines are quitting Nigeria while others are reducing their operations.

Usman attributed the recent challenges in the sector to the inability of some of the foreign airlines to repatriate their funds to their home countries and the high price of Jet A1 in the local market.


Usman stated this Wednesday during the visit of the House Committee on Aviation to the Nigerian aviation industry.

Usman however explained that the Federal Government through the Central Bank of Nigeria, CBN, recently released 50 per cent of the foreign airlines funds trapped in the country, promising that the issue would be adequately tackled.

Before now, about $700, 000 of foreign airlines’ funds were trapped in the CBN due to new policy of the government. With the revelation of Usman, it indicated that at least, $350,000 had been paid to the airlines in recent time.

No fewer than two carriers; United and Iberia Airlines quit the country in the heat of the controversy. On the local scene, Aero Contractors in August suspended flight operations despite being under receivership of the Asset Management Company of Nigeria, AMCON while First Nation had to suspended operations for over two weeks due to non-availability of equipment.

Usman also disclosed that the recession in the country had negatively impacted on the operations of the airlines and the entire aviation industry, stressing that apart from the airlines losing funds due to low carriage, the revenues of the agencies too are dwindling.

The recent reduction in patronage also forced Emirates Airlines to reduce its three frequencies to Lagos and Abuja to just two daily.



Also speaking, the Chairman House Committee on Aviation, Hon. Nkeiruka Onyejeocha said that the major priority of the committee was to ensure total safety in the Nigerian aviation industry.

She observed that some of the airlines are not complying with the regulations of NCAA and urged the management to improve on its economic regulations of the airlines.

She noted that if the NCAA was carrying out its duties as expected, some of the airlines that closed shop recently would still be in the air.

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