The International Air Transport Association (IATA) has ranked Nigeria among the most expensive countries globally for airline operations, highlighting a cost-heavy environment that continues to strain local carriers and hinder industry growth.
Speaking at the IATA Annual General Meeting in Brazil, the association’s Regional Vice President for Africa and the Middle East, Kamil Al-Awadhi, acknowledged ongoing reform efforts by Nigeria’s Minister of Aviation and Aerospace Development, Festus Keyamo. However, he stressed that airlines operating in the country are still grappling with intense financial pressures.
Al-Awadhi noted that the high-cost operating climate is eroding profitability and competitiveness, making it difficult for Nigerian airlines to scale and fully unlock the sector’s potential.
He identified excessive taxes, regulatory charges, and other operational expenses as major constraints, placing Nigeria among the most challenging aviation markets from a cost standpoint.
To reverse the trend, IATA urged member states of the Economic Community of West African States (ECOWAS) to adopt a proposed 25 per cent reduction in aviation taxes and charges. According to Al-Awadhi, such a move would lower airfares, stimulate passenger demand, and enhance airline competitiveness across the region.
Industry stakeholders have consistently maintained that cutting taxes and streamlining regulatory costs are critical to making air travel more affordable and improving regional connectivity.
IATA’s latest position adds to mounting pressure on West African governments to create a more enabling environment for aviation – an industry widely regarded as a catalyst for trade, tourism, and economic development.