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FAAN’s ride-booking app triggers airport taxi row

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A viral protest by airport cab drivers has shifted attention from disputed vehicle requirements to deeper concerns over Federal Airports Authority of Nigeria’s digital taxi reform, exposing tensions between transport modernisation, stakeholder inclusion and operational realities, writes OLASUNKANMI AKINLOTAN

A viral video of distressed airport cab drivers appealing to President Bola Tinubu over what they believed was a directive requiring them to acquire 2020 model vehicles has sparked broader debate over FAAN’s latest push to modernise airport ground transportation.

While the appeal centred on the cost of acquiring newer vehicles in an economy weighed down by inflation and dwindling purchasing power, findings by The PUNCH showed that the controversy extends beyond vehicle specifications. At the heart of the disagreement is the implementation of the Airport Car Hire Rank Management System, a digital platform introduced by FAAN to regulate airport taxi operations, improve security and streamline passenger movement.

For FAAN, ACHRAMS represents a major step towards modernising airport ground transportation and closing longstanding security and operational gaps. For the drivers, however, the unanswered questions are less about digitisation and more about participation and practicality, among other concerns.

For many of the drivers, however, the issue is not resistance to technology but the feeling that they are being excluded from a reform that will directly affect their daily operations and livelihoods.

In the video, one of the drivers, speaking in Yoruba, appealed to Nigerians to intervene, saying, “This is what we are facing. Nigerians should help us intervene. They said we should go and buy a vehicle from 2020 above. Vehicles that cost between N18 and N30m, with the way Nigeria is now.

“There are no jobs in the country, with what we are going through. Please pity us Nigerians. Let this go viral. Nigerians pity us, help us intervene.”

The video gained traction on social media, drawing mixed reactions. While many Nigerians sympathised with the operators, arguing that surviving businesses should not be burdened with additional costs during economic hardship, others insisted that airport transport services should reflect the standards expected of international gateways.

Behind the public debate lies ACHRAMS, a technology-driven initiative FAAN says is designed to improve passenger safety, eliminate touting, regulate airport taxi services and ensure transparent fare administration.

The authority insists the initiative has been widely misunderstood.

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Responding to the controversy, FAAN’s Director of Commercial and Business Development, Ms Adebola Agunbiade, dismissed claims that the protest was triggered by any directive compelling drivers to procure 2020 model vehicles.

She said, “Regarding the video circulating online, the claim that the main cause of the drivers’ actions is not accurate. The footage shows planned resistance by car hire operators who refused to register on the ACHRAMS. Those drivers were working to prevent the soft and pilot launches of the system at the Murtala Muhammed International Airport. This incident is not related to any policy regarding vehicle model year.”

Agunbiade explained that the authority’s minimum vehicle requirement remains 2012 models and above, not 2020 as widely alleged.

She further said, “It is incorrect to say that FAAN asked drivers to change their vehicles to a minimum of the 2020 model because of the introduction of ACHRAMS. In fact, one of the conditions laid down by the Authority for registration on the app is that drivers must operate vehicles manufactured in 2012 or above.”

She also stated that the requirement was introduced as far back as 2024 and that FAAN had repeatedly extended compliance deadlines from January to June and now to 1 October 2026, to accommodate operators facing financial constraints.

The airport managers also rejected allegations that the new system was intended to reduce the number of airport cab operators.

Agunbiade stated, “It is important to note that FAAN is not planning to clear only 60 per cent of existing drivers to pave the way for ACHRAMS. The intention is to clear all drivers, provided they comply with the laid-down standards.”

She disclosed that nearly all existing airport taxi operators at the Murtala Muhammed International Airport had already been admitted into the pilot phase of the platform, except two companies whose union allegedly advised members against participating while pursuing separate digital solutions.

FAAN further revealed that discussions were ongoing with ride-hailing companies such as Bolt and Uber to integrate their operations into ACHRAMS, explaining that any temporary restriction on airport pickups was purely regulatory pending the conclusion of agreements.

FAAN says the application goes beyond regulating drivers, describing it as a platform that will reshape airport transport through digital tracking, stricter vehicle and driver screening, transparent fare systems, designated pick-up points and stronger passenger security.

The platform, which is being implemented under a ten-year concession managed by two companies, the agency said, will reduce congestion around airport terminals while introducing electronic booking and payment options for passengers.

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FAAN maintains that consultations did not begin overnight, insisting stakeholder engagements commenced in 2024 before the project entered its pilot phase.

Despite those assurances, many airport cab operators maintain that the consultation process has not been as inclusive as it ought to have been.

The National President of the National Association of Airport Cab Drivers, Mr Adepegba Samuel, said the association’s demand is simple and not the suspension of the initiative, but genuine dialogue with them.

“You see, when you want to introduce something that you want people to align with, there should be serious briefing and enlightenment about the issue. The people introducing something are in the office, but we are the ones operating on the road. They should speak with us so that we can also tell them our views,” he said.

Samuel argued that airport drivers interact with passengers more than any other stakeholders after travellers leave the terminal buildings, making their practical experience invaluable in shaping the success of any operational reform.

He said, “We try to take the message to the public, but we need to sit together. We are the ones who will mostly speak to the public about this, but when we are not properly briefed or when you refuse to sit with us, how do we go forward from there?

“There are things they don’t know in the office that are happening, that we know because we deal with the public. We deal with the masses. We are at the finishing end of the job.

“They will bring the passenger from the plane down. We will take them to their respective areas. So we are dealing with them. If they want to ask questions about our operation, the public will not ask the government first; they will ask us. That is why we are saying let us have a round-table discussion.”

His concerns also extend to the practical application of the technology.

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According to him, the operational realities of Nigeria’s airports require a more flexible system than what has currently been proposed.

He reasoned, “The app they are talking about varies. The one that we work with in MM1 will not work at the international terminal. This one cannot even work for the public. The app should be made for the airport alone and be generalised.

“That is why we are seeking an audience with them, and they have refused to grant it. We are not fighting them. They are our bosses and principals, but they should please listen to us too.”

Samuel illustrated his concerns with a personal example, explaining that many airport drivers have built trusted relationships with customers over decades.

He explained, “For instance, I have a customer, an old customer of more than 25 years. Some of them have children in Babcock and other boarding schools. They don’t even come to pick their children themselves because they have confidence in me. They trust me.

“Imagine they are trying to reach me through the app from the international terminal while I am at the local airport; that will not be possible.

“They are our principals, but what we are saying is that let us come to a round table and debate the issue. That is all we seek.”

Attempts to obtain FAAN’s response on why the authority had yet to meet with the union were unsuccessful, as calls and text messages sent to its spokesperson, Henry Agbebire, went unanswered as of the time of filing this report.

Meanwhile, FAAN sources, who requested anonymity because they were not authorised to speak publicly, told our correspondent that the authority had no basis to meet directly with the drivers since it has no contractual relationship with them. They explained that FAAN had instead engaged with the concessionaires responsible for overseeing the airport cab operators.

One of the sources said, “FAAN could not have met with them because they work at the airport under different companies, yes, concessionaires, and these people are the ones FAAN met on several occasions. We couldn’t have met the drivers or unions.”

punch.ng

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Nigerian states’ revenues rise 93%, but education spending drops — World Bank

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The World Bank says Nigeria’s 36 states recorded a 93 per cent increase in revenues between 2023 and 2025 but education received a declining share of the sector’s expenditure.

The bank disclosed this in its latest Nigeria Development Update, which examined how increased public revenues have influenced spending priorities across the federation.

The report was made available to the News Agency of Nigeria by the World Bank in Washington D.C.

According to the report, states’ aggregate revenues rose by approximately 93 per cent in real terms, while expenditure increased by 92 per cent during the period.

The report attributed the improvement partly to exchange-rate reforms, petrol subsidy removal, stronger revenue administration and increased allocations from the federation account.

It said states also benefited from refunds, settlement of longstanding federal obligations, intervention funds, and stronger Value Added Tax collections.

However, education’s share of total state expenditure declined from 14.9 per cent in 2021 to 12.1 per cent in 2025, according to the report.

Health expenditure remained broadly stable at approximately seven per cent, while social protection’s share increased from 1.4 per cent to 4.4 per cent.

The bank said capital expenditure increased significantly, accounting for 61 per cent of state spending, compared with 46 per cent previously.

Transport infrastructure recorded the largest increase, alongside substantial spending on housing, agriculture and other economic investments.

The report quoted Mathew Verghis, the World Bank Country Director for Nigeria, as saying that increased revenues provided the opportunity to improve infrastructure, education, healthcare, and water services.

See also  Import waivers, insecurity end two-year agric trade surplus

He said greater spending efficiency, accountability and improved service delivery were essential to ensuring that additional public resources benefited Nigerians.

The bank acknowledged improvements in states’ fiscal reporting, transparency and internally generated revenue.

It, however, stressed that stronger investment in human capital was necessary to translate economic reforms into sustainable employment and improved living standards.

The report also projected average economic growth of 4.4 per cent between 2026 and 2028, subject to sustained reforms and improved service delivery.

It urged federal and state authorities to ensure that increased public revenues translated into tangible improvements in Nigerians’ welfare.

NAN

Source: punchng.com

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Nigeria promotes investment without building production capacity – UNILAG don

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A professor of Comparative Political Economy at the University of Lagos, Adelaja Odukoya, has asserted that Nigeria’s economic policies promote investment without sufficiently strengthening domestic production.

Odukoya argued that the contradiction had weakened the country’s productive foundations, with policies encouraging investment and entrepreneurship while failing to create the technological capacity, productive employment and processing industries needed to drive sustainable development.

Odukoya spoke at the maiden edition of the Adeleke University Toyin Falola Annual Lecture, held on Thursday at the Performing Arts Theatre, Adeleke University, Ede.

The lecture had as its theme, “History, Power and Accumulation: Reimagining Africa in the Globally Disorderly Order.”

Odukoya identified several contradictions in the way the Nigerian state manages economic activity.

He said, “The state promotes investment without creating conditions for technological transfer. It encourages entrepreneurship without generating sufficient productive employment.

“It expands primary-product exports while leaving processing capacity undeveloped. It constructs infrastructure without establishing strong linkages with domestic production.”

According to him, the contradictions explain why increased economic activity and accumulation do not necessarily translate into development.

“Accumulation is not synonymous with development,” Odukoya stated.

He argued that genuine development should be measured by the expansion of productive, technological, institutional and human capabilities.

“A country could attract investment, export minerals and agricultural commodities and record economic activity while still failing to build the domestic industries and technological capabilities required for long-term development,” he said.

His argument was echoed by Prof Toyin Falola, who said Africa’s vast natural resources would continue to reinforce dependency unless governments developed the industrial, technological and institutional capacity to transform them into productive power.

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Falola said Africa’s resource problem was not simply one of historical exploitation, but also the continent’s failure to convert its resource endowments into power.

“The issue, however, is not just to repeat the history of exploitation. It is more important to know how Africa turns its great resources into power,” Falola said.

He argued that Africa could not afford to remain a spectator as global economic and geopolitical arrangements continued to change, stressing that resource ownership without the capacity to add value would not guarantee influence.

Falola said the continent required a combination of knowledge, government policy and industrial capacity to change its economic position.

“There must be universities that generate new knowledge; there must be governments that translate this knowledge into policies; there must be industries that add value to the continent’s natural resources,” he said.

He added that Africa needed more than improved infrastructure and stronger economies if it wanted to exercise greater influence in the global system.

“The future of the continent will require more than just better infrastructure, improved economies, and more effective political institutions,” Falola said.

Source: punchng.com

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Import waivers, insecurity end two-year agric trade surplus

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Import waivers meant to ease hunger and insecurity on farms have led to a deficit, ending a two-year run of surpluses, as Nigeria’s agricultural trade balance swung from a N740.27bn surplus in the first half of 2025 to a N56.13bn deficit in H1 2026, according to agriculture and trade experts.

Recent foreign trade data from the National Bureau of Statistics showed that agricultural exports fell by 33.28 per cent, or N985.14bn, to N1.98tn in H1 2026 from N2.96tn in H1 2025.

Agricultural imports fell by only 8.50 per cent, or N188.74bn, to N2.03tn from N2.22tn over the same period. The gap between the two movements produced a N796.40bn swing in the trade balance.

Nigeria recorded a N365.74bn deficit in H1 2023, when imports of N926.25bn far exceeded exports of N560.51bn. The balance then turned to a N194.92bn surplus in H1 2024 before it widened to N740.27bn in H1 2025.

In separate phone interviews with The PUNCH, Agribusiness experts, including the Chairman of the Lagos Chamber of Commerce and Industry’s Agricultural and Allied Group, Tunde Banjoko, explained that recent government policy led to the shift.

Banjoko said, “Some waivers were given for products like palm oil and rice, and the import tariffs were drastically reduced. It became more favourable for people to import than to patronise local producers.”

He said the waivers on food commodities hurt domestic producers, even though lower tariffs on tractors and manufacturing equipment helped them.

According to Banjoko, “The effect is that our imports will rise above our exports. Second, we will discourage local production. Thirdly, we will be reducing employment, because some factories will shut down if they are not able to compete.”

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Banjoko also said weak funding for processors compounds the problem. He said foreign direct investment flows mainly into the capital market rather than into production and processing, so local processors cannot scale.

He urged the Federal Government to speed up the Special Agro-Industrial Processing Zones programme. “We should speed up such projects where we can produce enough for our country and start exporting, not look for shortcuts by reducing prices,” Banjoko added.

Meanwhile, the Chief Executive Officer of the Centre for the Promotion of Private Enterprise, Dr Muda Yusuf, identified two major factors behind the deficit. He said the first was the Federal Government’s decision to allow some food imports to tackle runaway inflation.

Yusuf said, “The first is the decision of the government to allow for some food imports as a result of the challenges of food inflation, which at a point was getting almost completely out of hand.”

He added that insecurity worsened the supply gap and cut export capacity, stating, “Insecurity led many farmers to leave their farms. Many of them have ended up in IDP camps, and quite a number have completely abandoned farming.”

He added that farmers cannot export without output. Yusuf said, “You can only export when you have the output.”

Yusuf also said high input costs and falling produce prices have discouraged farming. He said, “Most of these inputs are imported, so the exchange rate situation has seriously affected the cost of inputs, and the prices of produce have gone down.”

He urged the Federal Government to cut the cost of fertiliser, agrochemicals, machinery and improved seedlings. He also called for a minimum guaranteed price for agricultural produce.

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Yusuf said, “The government can establish a threshold below which, if prices fall, it will give farmers some compensation. That is the way it is done in many other economies.”

Source: punchng.com

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