Nigeria’s air traffic rises 11.9% as local airlines face cost of capital challenge

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Nigeria’s air passenger traffic rose by 11.9 per cent year-on-year to more than 18.8 million domestic and international passengers in 2025, making the country the fourth-largest aviation market in Africa.

The Managing Director and Chief Executive Officer of the Federal Airports Authority of Nigeria (FAAN), Mrs Olubunmi Onabanjo-Kuku, disclosed this at the ACI Africa Regional Conference and Exhibition 2026 in Abuja.

Onabanjo-Kuku, who is also Vice-President of Airports Council International Africa, said the growth reflected Nigeria’s increasing importance within the continent’s aviation market.

“Our aviation market now ranks as the fourth-largest in Africa, with over 18.8 million domestic and international passengers recorded in 2025, representing a year-on-year increase of 11.9 per cent,” she said.

However, an industry expert, Samuel Caulcrick, cautioned that the increase in passenger traffic had not necessarily translated into stronger commercial benefits for Nigerian airlines.

According to him, domestic carriers continue to face a significant competitive disadvantage against foreign airlines because of differences in access to affordable capital.

“Without protectionism, Nigerian airlines are not protected against foreign carriers that dominate the market. Both pay the same charges, but foreign carriers have one decisive advantage: lower cost of capital. That is the entire imbalance,” Caulcrick said.

Onabanjo-Kuku said the growth in passenger numbers was accompanied by increased scheduled airline capacity and renewed interest from international carriers.

She disclosed that Murtala Muhammed International Airport, Lagos, recorded the fastest growth in scheduled seat capacity among Africa’s 10 largest airports in September, with a 24.1 per cent increase.

Nigeria’s total scheduled airline capacity for the month stood at 1.19 million seats, representing a 37.4 per cent increase compared with the corresponding period of the previous year.

The FAAN chief attributed the expansion partly to currency reforms, new aircraft leasing arrangements and increased confidence among international airlines.

She added that several airlines had resumed operations in Nigeria since the current Minister of Aviation and Aerospace Development, Festus Keyamo, assumed office, with more expected to follow.

Despite the increase in traffic, Onabanjo-Kuku warned against interpreting the figures as evidence that Africa had overcome its aviation challenges.

She noted that Africa still accounts for only about one per cent of global air traffic despite its large population and significant economic potential.

“In Nigeria alone, with a population exceeding 220 million, we record approximately 19.5 million passengers annually across 28 airports. The potential is vast, but the gap between where we are and where we could be remains substantial,” she said.

She identified funding constraints, infrastructure deficits, high operating costs, fragmented connectivity and the challenge of maintaining affordable airport charges while delivering modern facilities as some of the sector’s major challenges.

Onabanjo-Kuku said FAAN was focusing on safety, capacity and infrastructure while pursuing digital transformation across the nation’s airports.

She highlighted the rehabilitation of a major runway at the Murtala Muhammed International Airport, terminal upgrades and improvements to airfield lighting carried out while airport operations continued.

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The authority is also deploying digital systems, including faster check-in processes, automated e-passport gates, enhanced security systems and passenger-data analytics.

She said FAAN achieved ISO 9001:2015 and ISO 14001:2015 certifications in January 2026, while more than 3,500 personnel had undergone training and certification through International Civil Aviation Organisation and ACI programmes.

Speaking at the conference, Keyamo said Nigeria’s next-generation airports must focus on resilience rather than expansion alone.

He said future airports must be safe, efficient, financially sustainable, technologically enabled, environmentally responsible and capable of responding to disruptions.

According to him, airports must be prepared for pandemics, geopolitical tensions, economic shocks, climate events, cyber threats and infrastructure failures.

“Resilience therefore cannot be an afterthought. It must be designed into our airports, our systems, our business models and our institutions,” the minister said.

Keyamo also said technology must improve the passenger experience rather than become an end in itself.

He cited Nigeria’s 91.45 per cent Effective Implementation score following the 2026 ICAO Coordinated Validation Mission as an indication of progress in aviation safety and regulatory compliance.

The minister also highlighted the rehabilitation and expansion of Terminal 1 at the Murtala Muhammed International Airport, Lagos, as part of efforts to modernise the country’s major aviation gateway.

He said the government was encouraging greater private-sector participation in airport infrastructure and services, while supporting Maintenance, Repair and Overhaul facilities, aircraft leasing, cargo infrastructure and other components of the aviation value chain.

Keyamo also called for stronger intra-African connectivity, arguing that it should not be easier for passengers to fly from one African city to a destination outside the continent than to another African city.

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