High Borrowing Rates And Other Operational Costs Are Putting Domestic Airlines Out Of Business

The severe economic climate in the nation, according to the Nigeria Civil Aviation Authority, presents significant difficulties for domestic carriers.

Capt. Musa Nuhu, the Director General of NCAA, revealed this in a recent statement to journalists in Lagos.

Capt. Musa Nuhua

He claims that the difficulties faced by airline companies in Nigeria include high financing rates, expensive insurance premiums for planes, and other issues.

He said that operational costs, insurance, and 25% interest rates are destroying the nation's aviation industry.

According to Nuhu, will do everything in their power to lessen the constraints on the airlines by assuring flexibility in their operations, the aviation agencies.

He said the apex aviation body allowed operating airlines a break on quarterly insurance rates for aircraft to lessen their financial strain, but added that it made sure the insurance coverage was sufficient for the danger.