FAAN Declares 19 Airports in Nigeria Unviable As Another One Gets Ready to Begin Operation
- The FAAN has identified at least 19 airports as financially unviable due to low traffic and high costs
- The agency also revealed that Nigeria is actively developing new airports, supported by FAAN with aviation security and rescue services
- One of the new airports is Chuba Okadigbo International Airport which is ready to commence operations
Legit.ng journalist Dave Ibemere has over a decade of business journalism experience with in-depth knowledge of the Nigerian economy, stocks, and general market trends.
The Federal Airports Authority of Nigeria (FAAN) has declared 19 out of the 22 airports in Nigeria financially unviable.
Olubunmi Kuku, FAAN’s managing director, disclosed this while speaking on national television on July 9, 2024.
Source: UGC
According to Kuku, the government is cross-subsidising the 19 airports and will continue to do so for some of the new airports being developed.
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Her words:
""We manage a total of 22 airports across the country. In addition to these, there are approximately six or seven airports owned by either state governments or private entities, which we support with aviation security and fire and rescue services.
Several states in the North and Southwest are currently developing new airports. Out of our current portfolio, only three out of the 22 airports are profitable and significantly contribute to the overall sustainability of our airport operations. The remaining 19 airports require cross-subsidization to cover their operational costs.
As we continue to support existing airports, we anticipate providing similar cross-subsidies for upcoming airport projects."
New airports in Nigeria
Kuku also spoke about the ongoing airport construction in the country, Punch reports.
She noted:
“Rather than building new airports, we need to look at the bottom of the value chain to determine what activities can drive traffic into these airports."
One such new airport ready to commence operations is the Chuba Okadigbo International Airport in Enugu state
New airport to be constructed in Nigeria
Legit.ng earlier reported that the construction work for Gusau International Airport, Zamfara state, officially commenced on Thursday, June 20, 2044.
Dauda Lawal, the governor of Zamfara state, said the new airport was designed to accommodate domestic and international flights.
Speaking at the flag-off ceremony held at the airport site on Kaura Namoda Road, Gusau, the governor said the airport will be smart and equipped with modern facilities.
Proofreading by James Ojo Adakole, journalist and copy editor at Legit.ng.
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Source: Legit.ng
