The President of the Aircraft Owners and Pilots Association of Nigeria, Dr. Alex Nwuba, has stated that Nigeria's domestic air travel market has remained largely stagnant, with about 15 million passenger journeys recorded annually. However, he noted that this figure does not represent 15 million individual travelers, but rather the same limited pool of travelers. According to Nwuba, the high cost of air tickets has continued to keep a large proportion of Nigerians away from air travel.
Nwuba explained that the 15 million passenger trips recorded each year are generated by about one million people, who are the same group of people flying year after year. He emphasized that the number of passengers will not increase until flying becomes more affordable and more Nigerians can participate. His comments followed the failure of any of Nigeria's nine scheduled domestic airlines to make Africa's top 10 carriers in the 2026 Skytrax World Airline Awards. Industry experts have linked this development to high operating costs and weak passenger demand.
The challenges facing the domestic aviation sector are largely rooted in an operating environment where airlines contend with multiple charges imposed by various government agencies. Nwuba stated that the government needs to restructure the entire industry, as there are too many people with their hands in the pot, and they are free to charge whatever they like. Those costs are eventually passed on to the flying public. This has resulted in high ticket prices, which discourage many potential travelers from flying.
The limited passenger base creates a difficult cycle for airlines, as operators need higher passenger volumes to spread their substantial operating costs. However, high ticket prices limit airlines' revenue growth and reduce their ability to absorb unexpected expenses, including fluctuations in foreign exchange rates and rising aircraft maintenance costs. According to Nwuba, reforms aimed at reducing airfares could help break the cycle by encouraging more Nigerians to travel by air.
A more affordable domestic aviation system would not only make air travel accessible to more Nigerians but would also support business, tourism, education, medical trips, and other economic activities that require movement across the country. Nwuba called on the Federal Government to review and rationalize the taxes and charges imposed on airlines, while considering targeted interventions to reduce their operating costs. He emphasized that costs must be brought down through structural adjustment in the industry.
Nwuba warned that airlines could be forced to reduce operations if rising costs of doing business, foreign exchange challenges, and multiple industry charges continue to pressure their finances. He urged the government to provide support to strategic sectors, including aviation, as governments around the world provide different forms of support to their aviation industries. This support could help reduce the operating costs of airlines and make air travel more affordable.
The domestic aviation sector is a critical component of Nigeria's economy, and making air travel more affordable could have a positive impact on the sector. With a more affordable domestic aviation system, airlines could increase their revenue, and the sector could experience growth. The government has been urged to take a closer look at the taxes and charges imposed on airlines and consider reducing them to support the sector.
Key points
- High air ticket costs have kept a large proportion of Nigerians away from air travel.
- The domestic aviation market has remained stagnant with 15 million passenger journeys annually.
- Reforms aimed at reducing airfares could help break the cycle of high ticket prices and limited passenger growth.