'Tinubu's policies restoring confidence in aviation sector

 

 

'Tinubu's policies restoring confidence in aviation sector'

 

Aviation and Aerospace Development Minister, Festus Keyamo on Friday said in the last two years, the confidence of both international and local investors have been restored in the aviation sector given the innovative policies and reforms by the current administration.

Speaking during the launch of ‘‘100 Years of Civil Aviation In Nigeria: History, Issues and Prospects’  ‘, a book written by Wole Shadare, Aviation Editor of the Telegraph Newspaper, Keyamo noted that the sector was not attracted to investors over the years but things have taken new shapes after President Bola Tinubu took over the helms of affairs of the country, working with his ‘Renewed Hope’ mantra.

Keyamo noted that the positive steps that  have been taken to improve the sector since 2023 have improved the outlook to investors, adding that recent bold policies implementations have created a more stable and favourable environment for investment in the sector.

” I think that the best achievement so far will be that we have brought international confidence back to the aviation ecosystem, it was very low, nobody wanted to deal with the country, nobody wanted to bring in aircraft, that people don’t know why we have old equipment , it all has to do with the confidence of the lessors and the financiers to bring their very expensive aircraft here, confidence was very low but we have brought it back.

“We are on the right trajectory currently,we have reshaped policies because aviation is about one policy, on infrastructure, the physical infrastructure, the policy goes to safety and all others . Before now, we have paucuty of funds in the country, we couldn’t develop our infrastructure but President Bola Ahmed Tinubu has huge plans for aviation. In time, myself and the MD of FAAN will address Nigerians in terms of the numbers that the president has approved for the upliftment of infrastructure.

“We have pursued each of the five-point agenda religiously, we may not have reached the zenith we want to reach in terms of our goals but have we reached a convenient curve in the journey.”, he said.

Recall that Nigeria officially signed the Cape Town Convention (CTC) Practice Directions to streamline aircraft leasing and improve the aviation sector.

The signing aims to reduce the cost of airline operations, particularly insurance, and to enhance the aviation sector’s attractiveness to investors. 

Keyamo, who insisted that the current administration will not fund a national carrier said it will focus on developing and empowering local airlines to boost their capacity for competition.

“Government cannot abs will not fund a national airline, we can only sell the franchise, we must also change some policies to meet the dynamics of the sector. The growth and development of the airlines is paramount, we must get the policy right for the development of the local carriers, we have shifted focus to enable their growth, the world has now seen that Nigeria is a serious country in terms of aviation, international investors are rest assured of their investment in the sector “, he added. 

Meanwhile, Managing Director of Federal Airports Authority of Nigeria (FAAN), Mrs. Olubunmi Kuku, praised Nigerian carriers for rising to the occasion of driving growth of the sector, despite dreaded challenges.

She is however of the opinion that the challenges are mere opportunities to develop the industry.

“Companiess such as Air Peace and Arik Air did not merely fill the void—they revolutionised our aviation landscape. The current figures sum up this transformation:39 certified airline operators, 31 airports nationwide, over 2,100 licensed pilots, a workforce comprising thousands, ranging from engineers to air traffic controllers. Nigeria has emerged as a testament to the efficacy of market-driven solutions. Our aviation sector now contributes approximately $1.7 billion to our GDP. Private airlines are connecting our cities with unprecedented efficiency, and international carriers increasingly regard Nigeria as a critical market. Last year, over 16 million passengers traversed our domestic terminals, while international passenger numbers exceeded 3.5 million. These figures are indeed impressive, yet there remains substantial potential for growth.

“Esteemed aviation enthusiasts, the opportunity before us is unequivocal. While challenges persist—infrastructure deficiencies, regulatory frameworks, and financing requirements—these should be perceived not as obstacles, but rather as opportunities. Each challenge facing our aviation sector represents a potential investment awaiting realization.”, she said.