Summit to unravel aircraft acquisition challenges in Nigeria

The Ministry of Aviation and Aerospace Development is organising an international aviation summit to bring aircraft manufacturers, lessors, financial institutions and airlines together to unravel the challenge of aircraft acquisition in Nigeria.

The summit, which is a three-day event slated for March 31 to April 2, 2021, at the International Conference Centre, Abuja, will deliberate on the challenges facing Nigerian airlines in aircraft acquisition, the reluctance of lessors to lease aircraft to Nigerian airline operators and the solution to this challenge.

International Organizations expected at the summit include major aircraft manufacturers like Boeing, Airbus, Embraer and Bombardier; global and local financial institutions, international insurance companies, Maintenance, Repair and Overhaul (MRO) organisations and suppliers.

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With the theme: Unlocking Growth, Stability, and Long-Term Returns in Africa’s Largest Mobility Market, the summit provides a platform for the most compelling aviation investment opportunities, combining strong structural passenger demand, government-backed concession frameworks, and significantly under-monetised infrastructure.

Despite its huge potential as Africa’s most populous country, Nigeria is ranked Africa’s 5th largest aviation market by seat capacity shortfall rather than demand saturation. So, air travel remains structurally essential due to limited nationwide rail alternatives, thus reinforcing aviation’s role as a critical mobility backbone.

The Minister of Aviation and Aerospace Development, Chief Festus Keyamo (SAN), will use the opportunity offered by the summit to consolidate on achievements already accomplished in bringing aircraft manufacturers, lessors and airlines together in a new interface after Nigeria signed the Cape Town Convention and Aircraft Protocol Practice Direction to fully utilise the new high rating to further develop the aviation industry in Nigeria.

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In consolidating this, the Federal Government intend to end the high-risk rating of Nigeria by backing a leasing company with a guarantee for domestic airlines to lease aircraft while it serves as a buffer, so that the country will rebuild its goodwill and become an enviable brand in Africa.

These issues will be brought to the fore during the summit, which will be attended by the Director General of the World Trade Organisation and former Minister of Finance and Coordinating Minister of Economy of Nigeria, Ngozi Okonjo-Iweala, the Governor of the Central Bank of Nigeria (CBN), top bank executives, international financiers, the International Air Transport Association (IATA) and aviation stakeholders.