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By Chinelo Obogo
Minister of Aviation and Aerospace Development, Festus Keyamo, has described the Murtala Muhammed Airport in Lagos as the only financially sustainable airport operated by the Federal Airports Authority of Nigeria (FAAN).
The minister made this statement during a panel discussion at the 9th Airport Business Summit and Expo, held in Lagos on Wednesday, with theme, “Airport Viability is Key to Successful Aviation Business Ambition.”
Keyamo, who was represented by the Permanent Secretary, Emmanuel Meribole, emphasised the need for Nigeria’s airports to become financially self-sufficient in order to thrive. He outlined several factors crucial for achieving airport viability, including sustainable financial models where revenue streams would be diversified beyond aviation fees to weather fluctuations in passenger traffic and operational efficiency, where technology and innovation will streamline processes and reduce costs.
He also spoke on the need to invest in modern facilities and transportation systems to meet growing demand and collaborating with private investors to finance infrastructure projects and improve services. Keyamo further explained that airports must maximise non-aeronautical revenue sources, such as retail, real estate, and parking, to ensure financial resilience. He said: “ On the 10th of July, 2024, the Managing Director of Federal Airport Authority of Nigeria (FAAN) was quoted as saying that only three airports out of the twenty two airports in Nigeria managed by FAAN are profitable.
However, looking at all the indices of Viability, it is probably Lagos Airport that is viable.”
He further said that achieving airport viability requires a concerted effort from all stakeholders, including the government, airport authorities, airlines, regulators, and private sector investors. By working together, Nigeria can create a thriving aviation sector that supports economic growth and development.
“Beyond their role in supporting aviation businesses, airports are vital drivers of national and regional economic development. Airports generate jobs, attract foreign investment, and contribute to tourism, trade, and business activities. For countries and regions looking to accelerate their economic growth, airports are key assets that must be nurtured and developed. By focusing on airport viability, we can unlock broader economic benefits, boost international competitiveness, and enhance connectivity in ways that go beyond the aviation industry. In this sense, airport viability is not just an aviation issue; it is a national economic imperative,” he said.
