BY OLAPEJU OLUBI
The Founder of United Nigeria Airlines (UNA), Professor Obiora Okonkwo, has raised concerns over the burden of multiple charges imposed on domestic airlines by government agencies, describing it as a major challenge that continues to stifle the growth of the aviation sector.
Speaking in Abuja on Wednesday at an event marking the airline’s fourth anniversary, Okonkwo urged the federal government to urgently address the issue, emphasising that domestic operators are struggling under the weight of excessive levies, a development that has tossed them into the intensive care unit, literally speaking.
However, he acknowledged the positive impact of President Bola Ahmed Tinubu’s foreign exchange (forex) policy on the aviation industry, noting that it has provided significant relief to operators.
He also commended the domestication of the Cape Town Convention, which he said has helped reduce operational costs.
Reflecting on the difficulties airlines faced before Tinubu’s administration, Okonkwo said, “I think that the foreign exchange policy of this administration has been of tremendous advantage to the airline industry. Before Tinubu took office, converting naira to foreign currencies to meet our obligations was a nightmare. We lost contracts and vendors because funds were stuck in naira, and forex was inaccessible.”
He further highlighted how the clearing of nearly $1 billion in blocked airline funds has restored Nigeria’s reputation in the international aviation industry.
“Now, our integrity is stronger, and it has opened up new opportunities for better relationships with foreign partners. We are happy with the progress,” he added.
While acknowledging the improvements in forex and regulatory policies, Okonkwo expressed concerns over passenger behavior, which he described as a major stress factor for operators.
“Our biggest challenge as operators is the passengers. The same people we strive day and night to serve sometimes turn unruly for no justifiable reason.
They overemphasize delays, which happen everywhere in the world. We need the press to help educate the traveling public on their rights and obligations.”
According to him, despite airlines going the extra mile to accommodate passengers, some still exhibit disruptive behavior, leading to physical altercations and damage to airport equipment.
Reiterating the need for financial support, Okonkwo urged the government to create a funding window for airlines to access loans at a reduced interest rate.
“One of the biggest factors that will drive growth in this industry is access to credit. The government needs to develop a program that grants local operators access to single-digit loans. We are competing in a global market where others secure financing at 3 to 5 percent interest, while we struggle with high-cost credit,” he stated.
He also lamented the high number of regulatory charges imposed on airlines, saying, “There are about 20 different charges we pay to NCAA, NAMA, FAAN, and other agencies. The margins in this business are very low, and after paying all these levies, we are left with almost nothing. This affects our ability to expand, invest in better working conditions for staff, and enhance service delivery.”
On the airline’s progress, UNA’s Executive Director and Chief Operating Officer, Mazi Osita Okonkwo, announced the addition of new domestic routes, including Benin, Kano, and Sokoto.
He also revealed that the airline had recently renewed its operating certificate, with plans at an advanced stage for the commencement of regional and international flights.
Highlighting a significant industry milestone, he said, “Our engineers recently achieved a feat never before witnessed in Nigeria by successfully replacing our aircraft’s landing and nose gears without foreign assistance.”
He further disclosed that UNA’s fleet expansion drive had led to the acquisition of new aircraft, with plans to operate in 25 destinations by 2026.
With strategic reforms and stronger government support, stakeholders believe Nigeria’s aviation sector has the potential to thrive, unlocking new opportunities for growth and investment.