Nigeria Ranked Among Costliest Markets for Airline Operations, Says IATA

The International Air Transport Association (IATA) has named Nigeria as one of the world’s most expensive countries for airline operations, citing prohibitive costs that undermine the viability of carriers and hinder sector growth.

Speaking at IATA’s Annual General Meeting in Brazil, Kamil Al-Awadhi, the association’s Regional Vice President for Africa and the Middle East, acknowledged ongoing reform efforts by Nigeria’s Minister of Aviation and Aerospace Development, Festus Keyamo. However, he stressed that domestic airlines continue to face severe cost pressures, including excessive taxes, charges, and other operational expenses.

According to Al-Awadhi, this high-cost environment makes it difficult for Nigerian airlines to remain profitable and competitive, limiting the sector’s full potential. He noted that among West African markets, Nigeria stands out as particularly challenging from a cost standpoint.

To ease the burden, Al-Awadhi called on member states of the Economic Community of West African States (ECOWAS) to adopt a proposed 25 per cent reduction in aviation taxes and charges. He argued that such a measure would lower airfare prices, stimulate passenger demand, and enhance the competitiveness of regional carriers.

Industry stakeholders have long maintained that cutting regulatory fees and taxes is essential to making air travel more affordable and boosting connectivity across West Africa. IATA’s latest remarks add to growing pressure on governments in the region to foster a more supportive environment for aviation, a critical driver of trade, tourism, and economic development.