Minister of Aviation and Aerospace Development, Festus Keyamo, has revealed new details on the suspension of the Nigeria Air project, emphasizing that the decision saved Nigeria from significant financial losses. In a recent television interview, Keyamo explained that the deal with Ethiopian Airlines would have imposed a $112 million debt on Nigeria over three years, as the country would have paid for Ethiopian Airlines’ surplus aircraft under their 49% stake in the national carrier.
Keyamo criticized the deal, arguing that Ethiopia would have reaped most of the benefits, while Nigeria would have borne the financial risk. “We were paying them for planes they brought to the table. What kind of investment is that?” he questioned, expressing concerns about Ethiopia gaining dominance over Nigeria’s aviation market without offering real investment in return. He further disclosed that the terms included a tax waiver for Ethiopian Airlines staff for five years, and that Ethiopia would control key management positions, sidelining Nigerian interests.
The minister also refuted claims that suspending the project caused a loss of Foreign Direct Investment (FDI), insisting it was not genuine FDI if Nigeria had to bear the operational costs. “People are saying we lost FDI. But is it really FDI when we are the ones paying for their planes?” he asked, igniting a broader debate on Nigeria’s foreign partnerships.
In addition to addressing the Nigeria Air deal, Keyamo announced stricter measures for private jet operations. He explained that collaboration with the National Security Adviser (NSA) has led to the establishment of a task force to monitor private jets more closely, preventing illegal activities such as drug trafficking and money laundering.
The minister’s revelations have reignited discussions about the viability of national carrier projects and the importance of scrutinizing foreign partnerships to avoid unfavorable terms that could harm Nigeria’s economy.
