By Alex C
Nigeria’s aviation industry loses $15 billion annually to international airlines in cargo and passenger flights, according to the Airline Operators of Nigeria (AON). The capital flight, AON noted, had made it impossible for any indigenous airline to contribute significantly to the country’s Gross Domestic Product (GDP).
Dubai-based Emirates contributes 22 percent to United Arab Emirates’ GDP, the association noted, adding that East Africa’s second largest airline, Kenya Airways also contributes hugely to the country’s economy.
Captain Nogie Meggison, Executive Chairman, AON disclosed that even if the country did something to reduce the capital flight in the aviation industry, it would make significant difference in the economy.
The $15 billion being taken out of the country annually is equivalent to 31 percent of Nigeria’s yearly income from oil, Meggison stated.
He however urged the government to adopt policies that would foster the growth of indigenous airlines, especially those that would encourage them to operate international destinations. The association had urged the government to give indigenous airlines the right to negotiate Bilateral Air Service Agreement (BASA) with foreign airlines, and that foreign airlines should be compelled to share frequencies with local airlines.