Stakeholders in the aviation sectors have disclosed that the crisis in the industry persisted because of some salient issues that have not been adequately addressed.
They disclose this at a meeting with the leadership of the House of Representatives led by the Speaker, Femi Gbajabiamila yesterday.
- NIGERIA DAILY: How Bread Turns People’s Lives Upside Down
- Nigeria’s inflation rate hits new 17-year high of 20.77%
The meeting attended by the Chairman, Airline Operators Of Nigeria, who is also the chairman, AZMAN Airline, Abdulmunaf Sarina, Chairman Air Peace, Allen Onyema as well as representatives of Emirates and other foreign airlines was a follow up on the earlier meeting held few months ago before the House went on break.
Speaking separately, the stakeholders said trapped funds belonging to foreign airlines, lack of access to foreign exchange as well as the operation difficulties being faced by domestic airlines were the major problems aggravating the crisis in the sector.
The Spokesperson, of AON, Prof. Obiora Okonkwo said, foreign airlines have dominated the industry in terms of slots and quantum of flights coming in and out of the country.
He however noted that, funds belonging to Foreign airlines which were tagged as trapped were not blocked because they are in their accounts in Naira and have access to them.
Dr Okonkwo noted that, the foreign airlines are only interested in converting the funds to dollars using the official exchange rate which he said will deprive the country of the scarce foreign exchange.
He said that, foreign airlines must not be allowed to convert their funds to dollars at the official CBN rate but to get it at the parallel market or through the I&A window where local operators are getting their foreign exchange.
On his part, the Chairman, Air Peace, Allen Onyema said, countries who’s airlines are enjoying privileges in Nigeria must reciprocate the feature by according some privileges to Nigerian airlines to operate in their countries.
The International Air Travel Association (IATA) regional manager for West Africa, Dr Samson Fatokun said Nigeria accounts for 32% of trapped airlines funds in the world and is is sending wrong signal which will discourage investors to invest in the country.
In his remark, the Speaker, Femi Gbajabiamila said, the meeting was to find ways to move forward and find solutions to all the issues raised.
He noted that, although the Central Bank of Nigeria, Ministry of Finance and other agencies billed to attend the meeting were absent, they will discuss some critical issues and set a new date for an expanded meeting involving all the stakeholders.
