The International Air Transport Association(IATA) has warned that Airlines might quit operations from the country over $802 million trapped funds.
IATA warned Nigerian government that the situation could hamper air connectivity, economic growth, and the development of the country’s aviation sector if the development is not urgently addressed.
Willie Walsh, the Director-General of IATA, gave the warning on Monday while launching “Focus Africa”, a new initiative to strengthen aviation’s contribution to Africa’s economic and social development.
According to him, the project will also improve passengers’ and shippers’ connectivity, safety, and reliability.
“Airlines may be forced to reduce their service in the countries blocking funds; this is a significant issue to airlines and IATA. It can affect African aviation’s growth,” Walsh noted.
It was further gathered that IATA Chairperson-designate and Rwanda Air Chief Executive Officer Yvonne Makolo had disclosed that Nigeria has the highest blocked funds in Africa and the world.
She said that the total amount of blocked funds in Africa is $1.6bn, of which Nigeria has $802 million.