Minister of Aviation and Aerospace Development, Festus Keyamo, has expressed concern over persistent challenges affecting Nigeria’s aviation financing ecosystem, including customs bottlenecks, foreign exce volatility, temporary importation procedures, and inter-agency coordination issues.
He, however, assured stakeholders that the Federal Government is actively addressing these issues through coordinated reforms involving aviation regulators, judicial capacity development, and digital transformation initiatives within the Nigeria Civil Aviation Authority NCAA.
Keyamo made this known while addressing global aviation stakeholders at the Aviation Working Group AWG General Meeting held in London, where he reaffirmed Nigeria’s commitment to strengthening aviation financing, regulatory reforms, and compliance with the Cape Town Convention CTC.
According to a statement by his Special Adviser on Media and Communications, Tunde Moshood, the minister said Nigeria’s aviation reforms are aimed at positioning the country as a competitive and reliable destination for aircraft financing and leasing transactions.
He noted that aviation growth in emerging markets such as Nigeria is often limited not by demand but by restricted access to affordable capital and financing structures.
The minister explained that the Cape Town Convention was designed to reduce legal uncertainty, boost creditor confidence, and lower aircraft financing costs for operators globally.
Keyamo said recent reforms have already begun to yield positive results, citing successful dry lease transactions involving Nigerian airlines and financial institutions as evidence of renewed investor confidence in the sector.
He acknowledged ongoing operational challenges but stressed that the government is taking steps to resolve them, particularly issues linked to customs processes, temporary importation procedures, and inconsistent regulatory coordination.
He further assured stakeholders that reforms are being strengthened through improved digital systems, regulatory efficiency, and enhanced institutional cooperation across relevant agencies.
A major highlight of his address was the announcement of the Federal Executive Council approval for the elishment of a Nigerian Aircraft Leasing Company, a project expected to unlock over one billion dollars in aircraft financing capacity.
According to him, the initiative will help Nigerian airlines access aircraft on more favourable terms, reduce dependence on foreign lessors, and support fleet modernisation across the aviation sector.
Keyamo added that Nigeria’s large population and growing passenger demand require a modern, efficient, and financially sustainable aviation system capable of attracting long term investment.
He emphasised that sustainable growth in the sector depends on trust in legal frameworks, institutional reliability, and adherence to international aviation obligations.
The minister also reaffirmed Nigeria’s readiness to deepen collaboration with global aviation partners and financiers to strengthen the aviation financing ecosystem across Africa.
He expressed optimism that ongoing reforms and strategic partnerships would transform the aviation sector into a strong driver of economic growth and development on the continent.
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