Many airlines risk collapse within 30 days, Onyema warns

Vice Chairman of the Airline Operators of Nigeria, Allen Onyema, has issued a dire warning that numerous domestic airlines could cease operations within the next 30 days unless the Federal Government takes immediate action to resolve the industry's pressing issues. Speaking at the launch of the book, Pathways, Pilgrimage & Destiny: The Biography of Alhaji Muneer Bankole in Lagos, Onyema, who is also the Founder and Chairman of Air Peace, painted a grim picture of the aviation sector as capital-intensive yet financially unfruitful.

He expressed grave concerns about the industry's survival, warning that unless drastic steps are taken within the next month, many airlines may face extinction. Onyema cautioned aviation unions against threatening to picket airlines over the non-payment of the five percent Ticket Sales Charge. He emphasized that if one airline were picketed, others would follow suit in solidarity, potentially crippling the entire domestic airline sector.

The Federal Government's refusal to disclose details of a $5 billion loan from Abu Dhabi was also criticized by Onyema, who argued that such actions should not be influenced by unions discussing debt matters. He lamented the challenging environment for Nigerian airlines, noting that over 50 airlines have ceased operations in recent years.

Onyema stressed that while airlines are willing to contribute to government revenue generation, they are not opposed to taxation and pointed out that they indirectly provide revenue for the government.