FG Approves New Aircraft Leasing Firm to Support Nigerian Airlines
The Federal Government has approved the creation of a national aircraft leasing company aimed at improving access to aircraft for domestic and regional airline operators across Nigeria.
The proposed company, to operate as a private sector-led Special Purpose Vehicle (SPV), will receive government backing and provide airlines with a more structured system for acquiring aircraft through leasing arrangements.
Under the initiative, local carriers will be able to obtain aircraft through a central platform instead of negotiating separately with foreign leasing companies, a move expected to reduce operational challenges and improve fleet expansion.
Officials say the project is designed to tackle long-standing difficulties faced by Nigerian airlines in securing aircraft on favourable terms while also positioning Nigeria as a major aviation financing centre in Africa.
The new leasing structure is expected to support the acquisition of newer and more efficient aircraft, helping domestic airlines improve service delivery on local and regional routes.
As part of the arrangement, the Federal Government will provide sovereign guarantees to financiers and leasing partners, particularly on issues relating to asset protection and investment security.
Authorities believe the initiative will not only strengthen the aviation sector but also create additional revenue opportunities for the country through government equity participation without direct capital investment.
Benita Ibrahim
