Onyema: Tinubu’s Intervention Will Save Nigeria’s Airlines

Chinedu Eze reports that Air Peace Limited CEO Dr. Allen Onyema believes that President Bola Ahmed Tinubu's intervention will save Nigeria's airlines. Speaking at the 30th annual conference of the League of Airport and Aviation Correspondents (LAAC), Onyema stated that the country's dismal ranking by the International Air Transport Association (IATA) as the worst place to establish an airline business would be a thing of the past once the President takes note of the factors contributing to such a designation.

Onyema highlighted the financial crisis caused by the 5 per cent Ticket Sales Charge (TSC) and called for a more amicable tax and charges system that would protect airlines, aviation agencies, and passengers. He pointed out that the current 5 per cent TSC is financially constraining the airlines and argued that a fixed flat rate on tickets would simplify payments and prevent more airlines from collapsing.

He also recalled how President Tinubu swiftly waived the 4 per cent Free on Board (FOB) levy for airlines within 24 hours after learning about its detrimental effects on the industry. Onyema emphasized the need for a dedicated, specific amount attached to tickets that would benefit airlines, NCAA, the aviation agencies, and the traveling public.

He also mentioned a promise to create 1,000 jobs after the removal of the 4 per cent FOB levy, which employed 1,000 young Nigerians.