FG Grounds National Carrier Plans, Backs Private Airlines with Policy Boost
The Federal Government has announced a strategic shift away from funding a national carrier, choosing instead to strengthen existing private airlines through targeted policy interventions.
Aviation and Aerospace Development Minister Festus Keyamo disclosed this policy change at the Lagos launch of Wole Shadare’s publication “100 Years of Civil Aviation in Nigeria: History, Issues and Prospects.”
The Tinubu administration plans to implement frameworks designed to enhance the operational capacity of domestic airlines. Recent regulatory adjustments have simplified aircraft acquisition processes for local operators, particularly through updated insurance requirements for leased aircraft. These modifications are intended to lower operational barriers and ultimately reduce passenger fares across Nigerian routes.
“We have shifted focus to ensure growth and development for local operators through our policies,” Keyamo said.
The minister outlined additional sector improvements, including enhanced training programs for air traffic personnel and measures to eliminate revenue losses within the system.
Keyamo reported significant compliance from international airlines regarding his directive to utilize Nigerian catering services for in-flight meals. He also expressed intentions to develop modern airport infrastructure, pending presidential authorization.
The minister criticized the deteriorating condition of Murtala Muhammed International Airport’s original terminal, unchanged since 1997, and advocated for its complete reconstruction rather than continued maintenance.
Federal Airports Authority of Nigeria Managing Director Olubunmi Kuku presented positive industry statistics during her address. Nigeria now operates 39 licensed airline companies, maintains 31 airports across the country, and has certified over 2,100 pilots for commercial aviation.
According to Kuku, the aviation industry generates roughly $1.7 billion annually for Nigeria’s economy. Domestic carriers provide effective intercity connections, while international airlines increasingly recognize Nigeria’s market significance.
Despite acknowledging persistent obstacles—including inadequate infrastructure, complex regulations, and capital constraints—Kuku maintained an optimistic outlook for sector expansion. She urged potential investors to view current difficulties as opportunities for market entry.
Author Wole Shadare characterized his 25-chapter work as a detailed examination of Nigerian aviation’s century-long development. The publication serves as a resource for academics and researchers studying the industry’s historical progression and future possibilities.