FAAN Given Two Weeks to Recover N18.98bn Airline Debt

The Federal Airports Authority of Nigeria (FAAN) has been issued a two-week ultimatum by lawmakers to recover a total of N18.98 billion owed by various foreign airlines. FAAN's Managing Director, Olubunmi Kuku, reported this figure during a session with the House Committee on Aviation, highlighting debts from airlines such as Qatar Airways (N1.5 billion), Lufthansa (approximately N1.5 billion), Virgin Atlantic (N1.35 billion), and others, with outstanding payments ranging from N700 million to N1 billion.

Lawmakers questioned why airlines were allowed to accumulate such liabilities and why certain airlines were permitted to operate despite owing debts beyond 90 days. Kuku explained that the international airline payment process is managed through a global clearing system, which sometimes delays settlements.

The committee demanded stronger enforcement mechanisms to prevent further accumulation of debt and directed FAAN to provide detailed documentation on the airlines' debts. The urgency of the situation underscores the importance of revenue recovery for Nigeria's aviation sector, which is critical for the nation's economic growth.