Stakeholders Deplore Aviation Industry

Nigerian aviation industry has been described as unprofitable and unattractive to foreign investors because of various factors that are inimical to its growth.

This was the observation of Olisa Agbakoba and Associates which recently organised aviation forum 2012 with the theme, “Emerging issues in the Nigerian Aviation sector: Need for aviation cabotage”.

In a communique issued at the end of the event, the organisation noted that the Nigerian aviation in its present state is not profitable, therefore not attractive to foreign investors.

“Examples were given to support the position that government’s support through fiscal policy will be required to turn the section around”, it added.

The communiqué stated that Nigeria has capacity building issues in the air transport market and there is need to prioritise and seek ways to solve this problem.

“The sum of N49 billion has been earmarked for the development of 22 airports in Nigeria by the Nigerian government. It was argued that this funds could be better utilised in bringing the few existing airports up to international standard, taking into consideration the need to improve operational, safety measures and security”, the communiqué added.

It also said that there is an urgent need to review all institutional, legal and regulatory frameworks pertaining to the aviation sector so that the industry would become attractive to both foreign and local investors in addition to embracing public, private partnership.

The communiqué also stated that steps should be taken to ensure that the fly Nigeria Act is enforced and the media should be carried along at all stages to prevent misrepresentation.