FG targets $14.16bn annual contribution to GDP

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Hadi Sirika

Buoyed by the successful implementation of its roadmap projects, the federal government is targeting to grow the aviation sector’s contribution to the country’s gross domestic product (GDP) by 5 percent, approximating $14.166billion, annually.

The sector currently contributes 0.6 per cent or $1.7 billion to the nation’s economy.

Briefing senior editors on the activities of his ministry under the President Muhammadu Buhari-led administration from 2015 to 2023, Thursday, Minister of Aviation, Senator Hadi Sirika, said with the huge transformation in the sector in the last 7 years, “the nation has successfully debunked the gospel truth that aviation doubles every 15 years.”

Reiterating the cardinal principle of the ministry to include safety, security and efficiency, the minister said, “the number of airports currently in Nigeria, including those being developed, has doubled; the passenger number has quadrupled, other entrepreneurships including catering and ground handling has blossomed, number of airlines and jobs has doubled.”

He noted that when the present administration came into power in 2015, the aviation industry experienced major challenges, some of which were unemployment of professionals, scarcity of foreign exchange, budgetary constraint, sustainability of waiver on aircraft and spares, decaying and ageing infrastructure and obsolete equipment, poor and intolerable conditions of airport facilities and equipment, as well as blocked airline funds.

He explained: “We have been working to reduce them to the barest minimum. Consequently, the aviation roadmap was developed and graciously approved by Mr. President on October 18, 2016, which includes, the national carrier, airport concession, Maintenance, Repair and Overhaul Centre (MRO), Aviation Leasing Company, Agro-Allied Cargo terminals, as well as Aerospace University, and so on.

“The roadmap projects are being undertaken through Public Private Partnership (PPP) and the Ministry has been working very closely with Infrastructure Concession Regulatory Commission (ICRC) to ensure we have a credible and transparent process.”

Sirika said those efforts were already yielding massive returns. 

“In 2015, the total passenger figure was eight million. With the implementation of some aspects of the roadmap, the passenger figure grew to about 18 million in 2019, making aviation the fastest growing sector of the national economy pre-COVID-19 pandemic,” he said.

He said in a bid to achieve a safe and secure air transport system, “the Federal Airport Authority of Nigeria (FAAN) has achieved the overall safety and security, operations, personnel training and documentation to meet global standards by the recently concluded ICAO Universal Safety Oversight Audit Program (USOAP) held in March 2016.

Besides, he said the Federal Executive Council mandated the Ministry of Aviation to carryout far-reaching reforms through an aviation road-map, saying:  “The road-map contains projects like the construction of new international terminal buildings in Murtala Mohammed International Airport, Lagos, Nnamdi Azikiwe International Airport, Abuja, Mallam Aminu Kano International Airport, Kano, Port-Harcourt International Airport, Omagwa and Akanu Ibiam International Airport, Enugu.”

Speaking on the landmark achievements of the ministry, Senator Sirika listed “the provision of 45 carry-on baggage screening machines; 40 hold-on baggage screening machines ; provision of 15 cargo screening machines as well as the provision of 4 3D body scanners.

“Also, 6 fire tenders were refurbished in addition to full maintenance of 36 fire tenders, perimeter fencing and operation road construction and maintenance at Ibadan, Kaduna, Jos, Sokoto, Yola, Enugu airports.

“For the improvement of passenger comfort, facilitation and experience at our airports, FAAN has carried out the remodeling of terminal buildings nationwide; with 9 of the terminals completed, while others are at advanced stages of completion.”

On the Accident Investigation Bureau, the minister said: “This administration has released 57 final accident/serious incidents, four safety Bulletins and issued 149 safety recommendations to the public since 2017. The Bureau has now published a total of 76 reports and issued 242 Safety Recommendations since inception in 2007.”

He said the Bureau had also incorporated the use of drones to assist as one of the many ever-evolving techniques in accident investigation.

On the outrage against the choice of Ethiopian Airlines as the preferred bidder for Nigeria Air, Sirika said there was nothing wrong with the transaction, describing the Ethiopian aviation sector as the most robust in Africa.

“Ethiopian Air is the only African airline to attain 1 billion US Dollar profit; and  the company was allowed to bid for the management of the new Nigeria Air because of its robust business and stability in the sector.

“Nigeria Air Ltd carrying the flag of Nigeria does not mean it must belong to Nigeria. There were complete misconceptions about the ownership of the carrier. While the government of Nigeria owns five per cent, other stakeholders hold 46 per cent of the business totalling 51 per cent,” he said.

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