Nigeria is taking steps to support its struggling domestic airlines after operators warned they might ground flights due to surging fuel costs.
Aviation Minister Festus Keyamo said President Bola Tinubu has agreed in principle to write off part of the debts airlines owe to aviation agencies. The decision follows urgent discussions with carriers facing severe financial strain.
The crisis has been driven largely by a spike in jet fuel prices, linked to disruptions in global oil shipments through the Strait of Hormuz. Airline operators say the rising costs have pushed them to the edge.
Allen Onyema, chief executive of Air Peace, said his airline nearly shut down under the pressure. He explained that companies were forced to keep borrowing just to afford fuel, leaving other critical areas of the aviation business underfunded.
President Tinubu has asked airlines to submit formal requests for relief, with the extent of any debt forgiveness to be determined afterward. In addition, the government plans to set up a committee to review taxes and fees on domestic flights, aiming to reduce costs for both airlines and passengers.
However, some industry leaders are calling for more sweeping measures. Onyema and others are urging the government to grant a full waiver of all debts and temporarily suspend further payments until global fuel supply conditions improve.
The situation reflects broader turmoil in the aviation sector worldwide, where escalating fuel prices — exacerbated by conflict involving Iran — have forced airlines to raise ticket prices, scale back expansion plans, and revise financial forecasts.
African carriers, in particular, are feeling the impact more acutely, as fuel accounts for a larger portion of their operating expenses compared to the global average.
