Tinubu says Nigeria’s aviation most viable but under-exploited

• Regrets unmet demand in cargo, MRO
•  Africa loses billions of dollars yearly to offshore maintenance
•  Kuku charts path for sector growth

President Bola Tinubu stated that Nigeria’s aviation industry remains one of the most viable and under-exploited markets in Africa for several reasons, noting that it serves over 220 million people, the largest domestic aviation market on the continent.

Speaking at the FAAN National Aviation Conference (FNAC), with the theme ‘Elevating the Nigerian Aviation Industry through Investment, Partnership, and Global Engagements’ in Lagos, the President, who the Secretary represented to the Federal Government, Senator George Akume, said the country’s strategic geographic location is ideal for trans-African and intercontinental linkages, adding that the growing middle class and travel demand is expected to double within a decade with a $1.7 trillion regional market, driven by AfCFTA, that depends heavily on efficient air logistics.

He, however, regretted the massive unmet demand in cargo, aircraft Maintenance, Repair, and Overhaul (MRO), leasing, charter services, and aviation-linked real estate, stressing that these are not abstract possibilities, but real market opportunities ready for investors.

His words, “I consider it necessary also to mention emerging frontiers, where the next wave of growth will come from, and it is expected that it should form part of the conversation at this conference. These areas with core potentials include aviation, cargo, and agro-export corridors, involving dedicated cargo terminals in Lagos, Kano, Port Harcourt, and Makurdi, as well as integration with special agro-industrial processing zones and cold-chain infrastructure for perishables, expansion of MRO infrastructure aimed at reducing aircraft maintenance capital flight, attracting global MRO players to partner with local investors.”

The President assured that his administration would remain focused on safety, efficiency, and sustainability in the sector, stressing his renewed commitment to implementing civil aviation policy reforms, embracing renewable energy solutions for airport operations, and developing smart, secure, and customer-friendly terminals.

He commended the Minister of Aviation and Aerospace Development, Festus Keyamo and the leadership of FAAN for their purposeful leadership and for taking the industry onto an upward trajectory.

Keyamo disclosed that Africa loses billions of dollars yearly to offshore maintenance, adding that FAAN is positioned to facilitate a regional Maintenance, Repair, and Overhaul centre in Nigeria that will serve West and Central Africa, thereby reducing costs, retaining capital, and creating high-skill jobs.

Nigerian airlines are reportedly losing over N300 billion annually due to the absence of a functional MRO facility in the country, as they are forced to ferry their aircraft overseas for repairs.

 With Nigeria’s significantly improved legal standing for aviation financing, the Minister stated that the environment is primed for indigenous leasing firms, adding that this is a direct opportunity to deepen aviation financing and support airline fleet modernisation.

“The narrative of Nigerian aviation has fundamentally changed. We have shifted from problem-spotting to solution-building. The foundation is solid, the opportunities are clear, and the enabling environment is continually strengthening”.

The Managing Director of FAAN, Mrs Olubunmi Kuku, said the industry is not just recovering; it is soaring to new heights.

She stated that statistics from the International Air Transport Association (IATA) indicate that global passenger traffic is expected to reach a historic 4.99 billion this year, decisively surpassing pre-pandemic levels.

“Now, let us speak candidly about Nigeria. We are clear about our reality: infrastructure gaps, foreign exchange pressures, and the imperative for modernisation. But today, I ask you to see what we see. These are not merely obstacles; they are Nigeria’s unparalleled investment portfolio. Every “gap” is a clearly marked space for transformative returns. The International Civil Aviation Organisation affirms that for every dollar invested in aviation, nearly four dollars are generated in broader economic growth. Where else can you find such a compelling multiplier?

“And we are not starting from scratch. Under the visionary leadership of the Federal Government, we have laid a robust foundation. As we speak, six airports and numerous runways are undergoing a government-funded transformation. This is a direct investment in our shared future, and we are grateful for this decisive commitment. Thank you, Mr President.”

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Wole Shadare