Nigerian Civil Aviation Authority (NCAA) says the aviation industry is already benefiting from the new aircraft leasing policy that was recently signed.
The Minister of Aviation and Aerospace Development, Barr Festus Kayamo, had in October 2024 signed the implementation of Irrevocable De-registration and Export Request Authorization (IDERA) haven in September 2024 signed the Cape Town Convention (CTC).
Both protocols have the potential to crash the cost of leasing aircraft, increasing fleet capacity in Nigeria thus reducing flight cancellation in the medium to long term.
With the new policy Nigerian airlines will now have easy access to aircrafts from leasing companies which would economically sustain the airlines.
The Director, Air Transport Regulation (DATR), Nigerian Civil Aviation Authority, Mrs Olayinka Babaoye-Iriobe gave this indication in Uyo during a retreat for the Directorate, of Air Transport Regulation (DATR), with the theme: “Achieving Operational Excellence in Air Transport Regulation for Safety and Economic Sustainability.”
She said already airlines have started benefiting from the policy, which over time would tackle the problem of flight cancellations mostly caused by shortage of aircrafts in operations by airlines.
Mrs. Babaoye-Iriobe explained that the policy removed Nigeria from the Cape Town Convention (CTC) index which was below 49 percent.
“What the honorable minister, Barr. Festus Kayamo has done is to look at the Cape Town Convention to try and revisit it. And then to sign up and implement the IDERA which removed Nigeria from the Cape Town Convention low index,” she stated.
The Director said from DATR’s evaluation process, Nigerian airlines are viable and financially sound as the Directorate of Finance, Directorate of Air Transport carry out routine visits to airlines for economic and financial audit and help to rectify areas of weakness to ensure safety.”
Babaoye-Iriobe stated that the process of acquiring airline licences and renewal has become easy and accessible as long as the airline operators meet all the required regulation and requirements.
“What we do as a directorate is to evaluate and to make sure they are still financially sound. You know, if they are not financially sound, then they will be cutting corners and then it will impact on safety” she said.