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Aviation professionals outline paths to sector recovery

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Professionals from different disciplines in the aviation industry have suggested various ways to ease the pains and ensure progress in the sector over the next 12 months.

They spoke during different interviews with our correspondents. A retired airline captain, Muhammed Badamosi, raised concerns over the state of Nigeria’s aviation sector, warning that years of neglect, weak regulation, and poor infrastructure could push the industry to the brink of collapse if urgent reforms are not undertaken.

Badamosi likened the sector’s development to “a journey where you take one step forward and two steps backwards,” arguing that little has changed over the past decade.

“In terms of infrastructure, financing, and regulatory oversight, the aviation sector today is no better than it was 10 years ago. Which of these areas has truly improved? We need to ask ourselves honest questions if we want progress.”

According to the retired pilot, Nigeria’s major airports are still operating with obsolete navigation systems that the rest of the world has long abandoned.

Badamosi explained, “Since the 1980s, most of our major airports have relied on Category 2 Instrument Landing Systems and VOR for navigation. Globally, aviation has moved on to Category 3-1, 3-2, and even 3-3 systems. What are we still doing here, more than 20 years after joining the world on Category 2 ILS?”

He noted that while Nigeria is spared the extreme winter conditions of the northern hemisphere, the limitations of Category 2 ILS still pose risks. He said, “In severe weather, Category 2 ILS is practically useless. We are only lucky that what we deal with here is mostly harmattan haze and short-lived fog.”

Badamosi also pointed to deteriorating airport infrastructure, including runways and taxiways that require urgent rehabilitation or outright reconstruction.

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“Have we achieved total radar coverage under TRACON? I don’t think so. These are the things that make airports safe. Without them, safety is compromised.”

Another major concern raised was the prevalence of ageing aircraft in the country’s fleet, many of which are second-hand. He cited recent incidents involving nose-wheel collapses during landing or taxiing as troubling signs.

“Some of these incidents should never have happened,” Badamosi said. “In some cases, the Nigerian Civil Aviation Authority is complicit because of corruption in the system.”

Badamosi criticised the current structure of aircraft inspection within the NCAA, noting that inspectors often stay far longer than regulations allow. “Inspectors are meant to be engaged on three-year contracts, renewable for just one year. Today, some have been in the system for over eight years.”

He explained that the original policy was designed to reduce the risk of inspectors becoming compromised by operators. “If you ask the Director-General, he may say it’s cost-effective,” Badamosi said. “But it’s time we weigh the cost of training against the cost of flight safety.”

He also described federal funding for aviation as inadequate, noting that about N714bn has reportedly been budgeted for aviation services. “That amount is highly inadequate for a sector as capital-intensive as aviation,” he said.

As a solution, Badamosi suggested concessioning some airports to reduce the financial burden on the government and improve efficiency. “The government can help itself by concessioning airports if Nigeria wants to be highly rated in global aviation,” he said.

Looking ahead, he stressed the need for sustainable financing and strategic partnerships. “Aviation is capital-intensive. Both airlines and service providers need sustainable financing to meet the challenges ahead. Members of the Airline Operators of Nigeria should seek partnerships with foreign airlines willing to operate here.

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“One of the reasons foreign airlines are reluctant to lease aircraft for operations in Nigeria is the state of our infrastructure. If these issues are not addressed urgently, the sector risks collapse and possible blacklisting.”

Also speaking, the President of the National Association of Nigerian Travel Agencies, Dr Yinka Folami, insisted that the controversial claim about 18 taxes on airline operators was unfamiliar to industry professionals with decades of experience in airfare construction and ticketing.

He called for a government probe of the claim for the benefit of all. He explained that in over 50 years of NANTA’s existence, the assertion of 18 government taxes on a single ticket was new to the association, which has over 4,000 registered members.

He, however, said the claim of 18 taxes on each ticket may not be impossible but insisted it required proper enquiry and deconstruction. “Unfortunately, everyone has become an expert on aviation taxes. But leadership demands focus. Let us stop speculation and interrogate the construction of these alleged 18 taxes.”

“In June, a Lagos–Abuja one-way ticket sold for about N100,000 or less. By December, it jumped to between N200,000 and N250,000. Government taxes did not change within that period. So, the increase cannot be attributed to taxes.”

He insisted that such fare increases were a result of airline business decisions influenced by seasonal demand, not government policy.

Also commenting, travel analyst Lucky George attributed the persistent fare challenge to capacity constraints by Nigerian airlines, rather than taxation. George said the Nigerian aviation market serves over 200 million people, yet capacity is limited, stressing that high fares are largely a result of supply failing to meet demand.

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He argued that high prices have made air travel inaccessible to a large segment of the population, despite strong demand. George also canvassed the re-establishment of a new national carrier, declaring that the current indigenous airlines lack capacity.

Industry expert Olumide Ohunayo emphasised the need for stronger collaboration among airport authorities and for unruly passenger cases to be taken beyond media attention to actual prosecution.

He also argued that rising airfares should not be dismissed as a seasonal issue. According to him, government support in helping airlines acquire more aircraft and establish local maintenance, repair, and overhaul facilities would ease capacity constraints and ultimately reduce ticket prices.

“First, I really want to see real synergy among airports and take unruly cases beyond the airport and media to the prosecution stage. We have seen in other climes where offenders are punished by the law because of rules that automatically take effect when airport laws are violated.

“The system follows through to ensure that airport offenders are punished, but here, what we see is that after media reports, everybody goes to sleep. That is why we continue to have a recurrence of bad behaviour at our airports. Nobody should be above the law.

“Rather, the government should continue to help airlines get more aircraft and also establish MROs within our domain. These measures will help drive airfares downward. What we have noticed is that there is a capacity constraint, and this aspect needs serious attention at this time.”

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Tax revenue hits N27tn after 113% surge – Report

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Nigeria’s tax collections have surged by 113 per cent in less than three years, rising from N12.3tn in 2023 to N27.1tn as of July 2026, the Nigeria Revenue Service has said.

The revenue authority attributed the sharp increase to the digitisation of the tax system, the enactment of four new tax reform laws, the transformation of the revenue service and an executive order aimed at closing loopholes in the tax system.

The NRS, in an internal report on the state of the Nigerian economy obtained by The PUNCH on Sunday, insisted that the country was moving from a period of severe macroeconomic distress towards a more stable and resilient economy following the implementation of a series of difficult reforms by the President Bola Tinubu administration.

“Tax collections more than doubled from N12.3tn in 2023 to N27.1tn as of July 2026 with the “digitisation of tax systems, four new tax reform laws, the transformation of the revenue service and an executive order that closed loopholes in the system.

“The Nigerian economy has moved decisively from acute macroeconomic distress toward a more stable and increasingly resilient footing,” the revenue service said.

The NRS attributed the development to what it described as Tinubu’s economic management acumen and determination to implement reforms under his administration’s Renewed Hope Agenda.

According to the report, the administration inherited four major economic distortions which had continued to undermine government revenue and economic growth.

It identified the challenges as “a fiscally unsustainable fuel subsidy regime, an opaque forex system that discouraged investment, a non-performing oil sector, and a tax base ‘far below its potential’.”

The revenue authority said the initial impact of the reforms created significant economic difficulties but maintained that the country’s major economic indicators had subsequently begun to improve.

It cited falling inflation, a turnaround in the balance of payments, increased crude oil production, the emergence of Nigeria as a net exporter of petroleum products and the more than doubling of tax collections as evidence of the recovery.

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The report also highlighted an increase in the minimum wage, saying it had doubled between 2023 and 2026.

It further cited estimates by the United Nations Children’s Fund showing that the number of out-of-school children had declined from 20 million to 18.3 million following government policies and incentives.

The NRS said the government’s naira-for-crude arrangement with the Dangote Petroleum Refinery and other domestic refineries had contributed to a major shift in Nigeria’s petroleum trade position.

According to the report, the arrangement had helped Nigeria move from being a net importer of petroleum products to becoming a net exporter after decades of dependence on imports.

It noted that Ghana had recently decided to pursue a similar policy in its petroleum sector. The report also said crude oil production had increased from about 1.2 million-1.3 million barrels per day in 2023 to 1.73 million barrels per day by July 2026.

It said the latest output was equivalent to 104 per cent of Nigeria’s OPEC quota. The increase in production is significant for government revenue because crude oil remains the country’s largest source of foreign exchange and a major contributor to public finances.

The NRS also pointed to developments in the capital market as another indication of improving economic confidence. It said the market capitalisation of the Nigerian Exchange had risen from N30.36tn in 2023 to N161tn in 2026, describing the increase as a source of wealth creation for millions of Nigerians who invest in the stock market.

The report attributed the market rally partly to improved macroeconomic credibility, the recapitalisation of banks and a growing pool of domestic institutional investment.

Nigeria’s external reserves also rose sharply during the period under review. According to the NRS report, reserves increased from an unrestricted $3.99bn in 2023 to $51.9bn as of July 2026, which it described as a 17-year high.

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The country’s balance of payments also moved from a $3.34bn deficit to a $2.38bn surplus in the first quarter of 2026, the report stated. Nigeria’s trade position similarly recorded a significant improvement, moving from a marginal surplus of N44.7bn to N7.55tn in the first quarter of 2026.

The composition of exports also showed some changes, with exports of other oil products, excluding crude, rising by 51 per cent year-on-year to N6.78tn during the first quarter.

The revenue service said improved investor confidence was also reflected in capital importation. Annual capital importation rose from $3.9bn in 2023 to $23.22bn in 2025, while inflows reached $10.37bn in the first quarter of 2026 alone.

The report said foreign portfolio investment had been particularly strong, while foreign direct investment had also improved. The increase in capital inflows, according to the NRS, reflected stronger investor confidence as economic reforms reshaped the operating environment.

The revenue service further highlighted the expansion of the compressed natural gas programme as part of the government’s response to the removal of the petrol subsidy.

According to the report, Nigeria had no large-scale CNG programme three years ago and depended heavily on imported petrol and diesel. By 2026, however, more than 100,000 vehicles had reportedly been converted to CNG, with more than $2bn in investment mobilised and over 10,000 jobs created.

The NRS estimated that CNG could reduce running costs by between 40 and 60 per cent compared with petrol. It said some commercial drivers had seen their monthly fuel bills fall from about N50,000 to N18,000 after converting their vehicles.

On agriculture and food security, it recalled that the administration declared a state of emergency on food security in July 2023 and subsequently introduced measures including the release of strategic grain reserves, the establishment of a N100bn National Agricultural Development Fund, fertiliser distribution and an agricultural mechanisation programme.

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Federal agricultural allocation rose from N228.4bn in 2023 to N826.5bn in the 2025 budget, according to the report. The NRS said food prices had fallen by about 50 per cent by March 2026, citing the Ministry of Agriculture.

However, it acknowledged that agriculture would require several planting seasons before increased government support could translate fully into higher production.

On public debt, the NRS acknowledged that Nigeria’s total debt stock had increased substantially, from N87.4tn in 2023 to N159.28tn in late 2025. However, it argued that the more important measure was the country’s debt relative to the size of its economy.

According to the report, the debt-to-GDP ratio declined from 38 per cent in 2023 to 35.5 per cent in 2025 and 32.3 per cent in 2026. The revenue service described the decline as the first sustained reduction in the ratio in more than a decade.

It also said debt servicing as a proportion of government revenue had declined from 68 per cent to an International Monetary Fund-projected 53 per cent.

The NRS said the combination of higher tax collections, increased oil production, stronger capital inflows, rising reserves and improved trade and balance of payments positions pointed to an economy that was gradually emerging from the severe pressures that followed the government’s early reforms.

The report nevertheless acknowledged that the gains came after what it described as “painful” adjustments and stressed that continued implementation of the reforms would be required to consolidate the recovery.

Source: punchng.com

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NLC demands N500k minimum wage, says current N70k minimum wage is no longer sustainable

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The Nigeria Labour Congress (NLC) says it will soon begin negotiations with the Federal Government for a new national minimum wage, insisting that the current N70,000 wage is no longer sustainable.

Speaking at the Rights of Workers Summit in Birnin Kebbi on Thursday, NLC President Joe Ajaero, represented by Deputy President Audu Titus Amba, said workers should prepare for fresh negotiations.

He argued that the current minimum wage could no longer meet workers’ basic needs amid rising inflation and the increasing cost of living.

“Anything less than N500,000 cannot cater for workers. The current minimum wage is due for review, and we will soon begin negotiations with the government,” he said.

Also speaking, Trade Union Congress (TUC) President Festus Osifo, represented by Secretary-General Nuhu Toro, said worsening economic conditions had eroded workers’ purchasing power.

He cited rising food prices, transport fares, rent and inflation as factors making the current wage inadequate.

President Tinubu signed the current national minimum wage bill into law on July 29, 2024, raising it from N30,000 to N70,000 per month. The legislation followed negotiations with organized labor and included a provision to review the wage structure every three years.

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Ondo artisans beg FG for inclusion in empowerment programmes

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Artisans and skilled workers in Ondo State have appealed to the Federal Government to include them in various empowerment programmes under President Bola Tinubu’s Renewed Hope Agenda.

The artisans, under the aegis of the Artisan Defender and Empowerment Foundation, said over 25,000 members of the group had been neglected despite their support for the re-election of the President.

This was contained in a statement issued on Friday by the Chairman and General Secretary of the association, Engr. Ogundipe James and Adebayo Olugbenga, respectively.

According to the statement, the group was founded and registered with the Federal Government to promote the interests of Niger Delta artisans and skilled workers, adding that its members needed government support through empowerment initiatives.

The statement read, “It was evident, the neglect of the welfare and empowerment of over 25,000 artisans that this organisation controls, for which we are advocating better welfare, skills and vocational training, empowerment, workshops and recognition of political strength and weight the coalition commands in the voting structure.

“The deteriorating situation of artisan welfare, particularly in Ondo State, is why the body is seeking immediate attention, mostly empowerment and skills upgrading from the primary concerned government agencies—the Federal Ministry of Trade and Investment, Directorate of the Office of Humanitarian Affairs and Poverty Reduction, Small and Medium Enterprises Development Agency of Nigeria, Presidential Amnesty Programme, among others.

“The neglect of this very important organisation, which plays a vital role in employment and the growth of the national economy, will cause disagreement and affect political support that comes from this coalition group.”

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The statement urged the concerned Federal Government agencies to consider the proposals earlier submitted by the group to enhance the support of its members for the President’s administration.

The group stated, “We call on the agencies mentioned above, demanding immediate attention to the proposals that have earlier been sent to this parastatal.

“This is a public warning and general awareness that failure to listen to Niger Delta Artisan Forum’s demands will lead to a national protest and have huge political support consequences for the continuation of the Renewed Hope Agenda of President Bola Ahmed Tinubu come the 2027 election, if attention is not immediately given to the demands.”

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