Tinubu’s foreign exchange policy has revolutionized airline operations in Nigeria says Okonkwo
By Msugh Ityokura
Founder of United Nigeria Airline, Prof. Obiora Okonkwo has commended the Federal Government for creating an enabling environment for airline operators to thrive in the country.
He pointed out that in most African countries, over 70 percent of airline ownership and operation is by government unlike Nigeria which has a free market place.
He spoke Wednesday, in Abuja during this year’s annual retreat organised for staff members of the airline and the 4th anniversary of its maiden flight where he commended president Bola Tinubu for prioritizing the aviation sector in the country.
Okonkwo said the $1 trillion target economy for Nigeria’s aviation sector by the President is realisable with an enabling environment to achieve the objective.
The foreign exchange policy introduced since the inception of the President Tinubu-led administration he pointed out has revolutionized airline operations in the aviation sector.
Challenges like access to foreign exchange and the trapped fund saga with foreign operators that gave Nigeria a negative image in the comity of nations are some of the challenges faced by the sector which were however, resolved by the president
He said operators no longer go through the nightmare of accessing foreign exchange from the banks to offset bills and fulfill their obligations to their partners abroad.
Besides, Okonkwo commended the minister for Aviation, Festus Keyamo, for putting in place measures aimed at protecting the interest of domestic operators in the country
He recalled that when the airline made its maiden flight on February 12, 2021, it remained the most difficult time in aviation history due to the challenges posed by the COVID-19 pandemic across the world.
He expressed optimism that Nigeria would get its fair share of the gross domestic product (GDP), running into trillions of naira, contributed by the industry across the world.
While calling on the relevant authorities to consider a single-window source of loans for the country’s aviation industry in tandem with global best practices the business mogul sought a 3 per cent interest rate for operators as against the 30 percent being charged by financial institutions in the country.
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“We have no doubt that if they continue in this direction, the aviation industry would achieve the $1 trillion economy that Mr. President is targeting. It is in the world that the aviation industry—you have to equate it like a country. It’s about $17 trillion GDP all over the world.
“It might as well be about the 15th richest country in the world. It’s huge. The Nigerian portion of the cake is still very small. It’s small because the local operators in Nigeria have not been fully supported.
“We think that the way we are going, beyond access to finance, I still think that the government should consider a low-interest source of loans for the aviation industry.
“We don’t need grants; we don’t want the government to give us money. Aviation is one all over the world, and we are competing with other operators who have access to loans. If you have to go to the bank today, it should not be anything less than 30 percent. The profit is very minimal.
“You can’t even survive with that. If this remains, it would continue to suppress our opportunity to maximize this beautiful policy of Mr. President in the aviation sector, championed by the Minister, Festus Keyamo.” he said
