Nigeria’s aviation sector is shifting toward private airline dominance, as the Federal Government signals a clear departure from the idea of a national carrier while backing local operators to compete globally.
Minister of Aviation and Aerospace Development, Festus Keyamo, spoke in Lagos during the unveiling of two Boeing B737-800 aircraft added by United Nigeria Airlines (UNA), a fast-growing domestic carrier.
The aircraft, registered as 5N-CFC and 5N-CFB, expand UNA’s fleet as Nigeria positions local airlines to capture more of its estimated 16 million annual passenger traffic.
Keyamo said the Tinubu administration’s first priority was correcting policy direction and backing indigenous airlines to scale operations within and beyond Nigeria.
He praised United Nigeria Airlines’ growth and confirmed that government policy now favours private carriers over state-owned ventures.
He said, “All governments in the world are divesting from national airlines. It is not possible to run a national carrier under a bureaucratic setup without it collapsing into a bottomless pit.”
The Federal Government had previously pursued a national carrier project, Nigeria Air, under former administrations, but it faced legal and operational hurdles before being suspended in 2023.
Government Backs Local Airlines Expansion
Keyamo explained that Nigeria is shifting to a model where private airlines operate international routes under strong regulatory oversight by agencies like the Nigerian Civil Aviation Authority.
He said the ministry has approved key international routes for United Nigeria Airlines, including the United States, Canada, and Dubai, though aircraft capacity remains a constraint.
He said, “We are giving United Nigeria Airlines fruitful reciprocal routes, including New York, Canada, and Dubai. We are only looking for the equipment to run these routes right now.”
Currently, foreign airlines dominate over 90% of Nigeria’s international passenger traffic, a gap the government wants local operators to close.
Keyamo linked renewed bank interest in aviation financing to policy stability and improved repayment performance by major carriers such as Air Peace.
To address aircraft scarcity, he disclosed that President Bola Tinubu approved a government-backed leasing structure to ease access to planes for Nigerian airlines.
He said, “I went to Mr. President to advocate for local operators who face strict international leasing hurdles.”
He added, “He has formally approved the establishment of the Nigerian Aircraft Leasing Company.”
He continued, “This company will exist solely to bring in aircraft under a solid government guarantee through private dry-lease agreements, which will then be sub-leased directly to our domestic airlines.”
Abia Airport And Enugu Cargo Hub Plans Advance
Keyamo also detailed infrastructure expansion, particularly in the South-East, where Abia State previously lacked any airport facility.
He said, “The first thing we did when we came to power was that I went to Mr. President and said, ‘Abia does not have an airstrip or airport in the whole of the South.’”
The project, initially planned as an airstrip, has grown into a full international airport through joint funding between the Federal Government and Abia State under Governor Alex Otti.
He said, “Credit to Dr. Alex Otti—he did not stop at that.”
He added, “He is bringing his own state’s resources to the table.”
Keyamo confirmed that Abia has already committed funds ahead of federal disbursement, accelerating construction progress.
Meanwhile, the Akanu Ibiam International Airport in Enugu is transitioning into a privately managed cargo hub after federal approval for state-led investment.
He said, “As I speak with you, Enugu Airport is now fully privately owned and run under the direction of the state government.”
To support trade, Nigeria is negotiating a direct cargo route between Guangzhou, China, and Enugu.
He said, “Just two days ago, the Enugu governor and I were actively negotiating the first direct cargo flight from Guangzhou, China, straight into Enugu.”
He added, “We are targeting December for the maiden flight.”
The plan is expected to streamline logistics for traders in Onitsha and Aba, reducing dependence on Lagos ports and improving supply chain efficiency.
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