Foreign airlines’ trapped $464m to be released soon – Lai Mohammed

The Minister of Information and Culture, Lai Mohammed has disclosed that the Federal Government is working towards ensuring a speeding release of the $464 million of foreign airlines trapped in the country.

The News Agency reports that revenue from ticket sales which accumulated since 2021 till July 2022 was blocked by the Central Bank of Nigeria, CBN, from being repatriated to airline operators through the International Air Transport Association, IATA.

One of the airlines, Emirates Airlines, had on Thursday announced the suspension of its flight operations in Nigeria from September 1, over its inability to repatriate its funds from the country.

Fielding questions from newsmen on Monday during the inspection of the Terminal 2 of the Murtala Mohammed International Airport, Lagos, the minister disclosed that relevant government organisa­tions were working to address the issue.

“On the trapped funds, I can tell you that the relevant author­ities are working hard on that issue,” he said.

Meanwhile, a Chief Executive Officer of an aviation company, Segun Adewale, has urged the Federal Government to expeditiously repatriate the 600 million dollars ticket revenue belonging to foreign airlines operating in the country.

Mr Adewale, also former Vice-Chairman, National Association of Nigerian Travel Agencies, NANTA, made gave the charge in a statement he issued on Saturday in Ikeja.

“The repatriation of revenues of all tickets sold to travellers by airline operators to their home offices is the responsibility of the CBN, but it has refused to release the equivalent in dollars for service already rendered.

“We have lost so many airlines and jobs are being lost in the aviation sector and at airports generally.

“The development is inimical to our economic wellbeing as a nation; from the spiritual angle of thought, it is wrong to muzzle the ox that threads the corn,’’ Mr Adewale stated.

The airline chief decried that the blocked funds had already led to reduction of air connectivity and restriction of flights.

He stated that it was disheartening that the same FOREX being denied the airlines was being released to import non-essential products such as champagne and tooth picks.

“If foreign airlines suspend flight operations, businesses will be shifted to neighbouring countries like Ghana and Benin Republic.

“The issue is so difficult for the operators, who now borrow FOREX from their home offices to fuel their airplanes.

“With the increase in dollar rate leading to rise in flight ticket prices, especially en-route America and Dubai, which is now over a million naira, the environment is getting hostile for businesses to thrive,’’ he stated.

Mr Adewale appealed to the Ministers of Aviation, Finance and the CBN to do the needful and ensure release of FOREX.

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