FG Grounds National Carrier Plan, Set to Rebuild Lagos Airport Terminal

The Minister of Aviation and Aerospace Development, Mr. Festus Keyamo, has announced that the Federal Government has officially shelved the national carrier project. Instead, the administration is now focusing on strengthening and expanding the capacity of local airline operators.

Speaking in Lagos at the launch of a new book titled “100 Years of Civil Aviation in Nigeria: History, Issues and Prospects”, authored by Mr. Wole Shadare, Aviation Editor at New Telegraph Newspapers, Keyamo emphasized that the government under President Bola Tinubu is committed to creating a policy framework that encourages the growth and sustainability of domestic airlines.

According to the Minister, several recent policy initiatives reflect this renewed focus, including a revision of insurance regulations for leased aircraft, a move aimed at improving fleet accessibility and reducing domestic airfares. He highlighted other efforts such as the training and retraining of air traffic operators and measures to curb revenue leakages within the aviation sector.

“In line with our strategic shift, we are committed to fostering an environment where local operators can thrive,” Keyamo stated. He also noted that nearly all foreign airlines operating in Nigeria have begun sourcing in-flight catering from local providers, in compliance with a recent directive designed to boost local content.

In addressing infrastructure concerns, the Minister expressed disappointment at the current state of the old terminal at the Murtala Muhammed International Airport (MMIA), Lagos. He revealed that plans are underway to demolish the terminal and replace it with a modern facility to enhance passenger experience and operational efficiency.

Also speaking at the event, Mrs. Olubunmi Kuku, Managing Director of the Federal Airports Authority of Nigeria (FAAN), provided an optimistic outlook on the country’s aviation sector. She disclosed that Nigeria currently boasts 39 certified airline operators, 31 airports, and more than 2,100 licensed pilots—clear indicators of growth and development in the sector.

Kuku noted that the air transport industry contributed approximately $1.7 billion to Nigeria’s Gross Domestic Product (GDP), with private airlines significantly improving connectivity across cities. International carriers, she said, increasingly view Nigeria as a strategic aviation hub.

Reflecting on the historical evolution of the industry, Kuku recalled the post-independence transformation from colonial-era aviation infrastructure to a locally-driven sector. “Our national carrier, Nigeria Airways, was born out of a vision for sovereignty but later succumbed to operational and managerial inefficiencies,” she said. “The early 2000s presented a turning point, prompting the private sector to take the lead. Airlines like Air Peace and Arik Air didn’t just replace the gap—they redefined the aviation ecosystem.”

She emphasized that, while significant progress has been made—including over 16 million domestic passengers and 3.5 million international passengers in the past year—there is still considerable room for growth. Challenges such as infrastructure deficits, regulatory gaps, and financing constraints remain, but the potential for expansion is substantial.

The book’s author, Mr. Wole Shadare, described the publication as a thorough chronicle of the Nigerian aviation industry’s 100-year journey. He expressed hope that the 25-chapter volume would serve as a valuable resource for scholars, researchers, and stakeholders interested in understanding the sector’s history and future prospects.

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