Boeing to develop credit facility for Nigerian airlines to facilitate operating leases

  • To partner Banks in Nigeria, Africa Trade Investment insurance,
  • Invites Minister, operators, others to Dublin for summit

 

Aircraft giant, Boeing said it has been working with several banks in Nigeria and Africa Trade Investment Development Insurance (ATIDI) to develop a Credit Enhancement product specifically for Nigeria to facilitate operating leases by providing an additional layer of security to global lessors who may have shown interest in the region.

The American company is equally coordinating efforts with lessors to start considering leasing aircraft to Nigerian operators in the next 24 months.

The Minister of Aviation and Aerospace Development, Mr. Festus Keyamo has opened a fresh vista of opportunity to Nigerian carriers that have been hampered by the difficulty in getting aircraft leased to them at favourable costs due to serious image problems some airlines put the country through.

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Nigeria finally exited the depressing list among nations with bad records of defaulting aircraft agreement lease rentals. His effort to see that Nigeria exited the blacklist had been applauded by stakeholders.

The aircraft making in a letter inviting the Keyamo titled, “Invitation Letter to Dublin, Ireland for the Airline Economics Conference, January 12 to 15, 2025” dated October 25 and signed by Moore Ibekwe, Commercial Sales Director Africa Sales Boeing Commercial Airplanes said they envisage a forum that will include the Ministry, Airline Operators of Nigeria (AON) representatives, Nigerian banks, lessors/financiers, and Boeing to chart a course for a new future for Nigerian aviation.”

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According to Ibekwe, “On our side, we are coordinating the efforts with lessors to firm up dates and timing for these meetings. We would like to keep the delegation small and focused on Nigerian airlines seriously considering leasing of aircraft in the next 24 months.”

“It is important that the airlines we bring to the forefront are prepared so that we can demonstrate real business opportunities to keep the attention of the lessors.”

“Honorable Minister, I want once again to thank you for the attention and efforts that you have personally dedicated to the Nigerian aviation industry, and I do not doubt that your legacy as the agent of change will be written in history.”

Recall that the country has now complied fully with the Cape Town Convention on dry-leasing of aircraft by preparing and signing the Practice Direction, the country’s global rating status has once again soared higher.

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This time around, its rating jumped from 70.5 to 75.5 points. As a result, the Aviation Working Group (AWG), which is co-chaired by Boeing and Airbus removed the country from its watchlist.

The removal of the country from the watchlist would enable Nigerian airlines to access aircraft on a dry leasing basis, while global financial companies would also be able to partner with Nigerian airlines for aircraft financing,

Wole Shadare