20251219

Air Travel In Nigeria Is One Of The Cheapest Globally - Airline Operators

Special Report: Air Travel in Nigeria - One of the Cheapest Globally

Air travel in Nigeria has recently become the subject of intense public debate, with allegations of airfare hikes sparking widespread concern among passengers.

However, airline operators, represented by Prof. Obiora Okonkwo, Chairman and CEO of United Airlines Limited and spokesperson for the Airline Operators of Nigeria, have strongly defended the industry, insisting that domestic air travel within Nigeria remains among the cheapest in the world.

Prof. Okonkwo explained that despite the perception of rising ticket costs, Nigerian airlines continue to charge fares that are significantly lower than global averages. He highlighted that in many countries, short-haul flights can cost upwards of $1,400 for less than an hour’s journey, whereas in Nigeria, even the highest fares rarely exceed $200 when converted from naira. He emphasized that the apparent spikes in ticket prices are seasonal, driven by increased demand during festive periods, rather than deliberate price gouging.

The operators argue that the low fares come at a heavy cost to the airlines themselves. Nearly all operational expenses, spare parts, maintenance, equipment procurement, are paid in dollars, while tickets are sold in naira. This creates a financial imbalance, worsened by high-interest loans in Nigeria (30–35 percent compared to 2–7 percent abroad) and multiple taxes and levies that do not exist in other markets. These challenges have contributed to the high mortality rate of Nigerian airlines, with many struggling to remain sustainable.

Airline operators also clarified that ticket pricing follows a structured formula, with multiple fare classes even within economy cabins. For example, while some passengers may pay ₦400,000 for a ticket, others on the same flight may pay ₦100,000, resulting in an average fare between ₦120,000 and ₦150,000. They stressed that sensationalized reports often highlight only the highest ticket categories, ignoring the broader pricing structure.

The Federal Competition and Consumer Protection Commission (FCCPC) has launched investigations into alleged exploitative practices, particularly on routes serving the South-East and South-South, where fares have reportedly risen by as much as 150 percent.

Lawmakers have also urged the government to grant tax waivers and reduce auxiliary charges to ease the burden on travelers during peak seasons. The FCCPC, however, clarified that it is not a price control board but is mandated to protect consumers from collusion, exploitation, and unfair pricing practices.

While Nigerian passengers continue to express frustration over rising fares, airline operators maintain that domestic air travel in Nigeria is still among the cheapest globally.

The real issue, they argue, lies in the unsustainable financial pressures faced by airlines, which threaten the long-term viability of the industry.

The debate underscores the delicate balance between affordability for passengers and survival for operators, a challenge that will require government intervention, regulatory oversight, and industry reforms to resolve.

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