The Federal Government has called for the establishment of indigenous aircraft leasing companies in Nigeria to deepen aviation financing and support the modernization of airline fleets.
The announcement was made by the Minister of Aviation and Aerospace Development, Festus Keyamo, who was represented at the 2025 FAAN National Aviation Conference (FNAC) held on Monday at the Eko Hotel and Convention Centre, Lagos.
The two-day conference is themed “Elevating the Nigerian Aviation Industry through Investment, Partnership and Global Engagements.”
Keyamo emphasized that Nigeria is not only a large market but also a strategic aviation hub, and that FAAN’s investment proposals are structured to attract private-sector participation through transparent public-private partnership frameworks.
He noted that Nigeria’s strengthened legal framework for aviation financing has created a conducive environment for local leasing firms, enabling airlines to access finance more easily for fleet expansion.
“Nigeria is not only a large market; it is a strategic aviation hub, and the investment priorities we present are structured, viable, and designed for private-sector leadership,” Keyamo stated.
On the prospects for local leasing firms, the minister added, “With Nigeria’s significantly improved legal standing for aviation financing, the environment is primed for indigenous leasing firms. This is a direct opportunity to deepen aviation financing and support airline fleet modernization.”
The minister also highlighted other investment opportunities, including the modernization of airport infrastructure through the government’s Renewed Hope funding, the development of a regional Maintenance, Repair, and Overhaul (MRO) hub to retain billions in offshore maintenance, and the creation of dedicated cargo and logistics hubs to facilitate agricultural and manufacturing exports.
While Nigeria has exited the Aviation Working Group (AWG) watchlist after achieving a 75.5% compliance score on the Cape Town Convention (CTC) Compliance Index, industry players note that it may take at least two years before airlines can fully benefit from the improved compliance framework.
More insights
The first day of the 2025 FAAN National Aviation Conference (FNAC) also featured insights from government officials, investors, and subnational leaders on the progress and future of Nigeria’s aviation sector.
President Bola Ahmed Tinubu, represented by the Secretary to the Government of the Federation (SGF), Dr. George Akume, formally declared the conference open, noting aviation’s critical role in driving economic growth, regional connectivity, and job creation.
The Managing Director of FAAN, Mrs. Olubunmi Kuku, highlighted ongoing modernization efforts at federal airports, including terminal upgrades, runway rehabilitation, staff capacity development, and the adoption of digital and ISO-accredited systems to enhance service quality and attract investors.
- At the event, Plateau State Governor Caleb Mutfwang, represented by a commissioner, outlined plans to transform Yakubu Gowon Airport into a world-class Fresh Cargo Hub with a total investment of N47.54 billion.
- Key components include runway extensions for wide-bodied cargo aircraft (N13.9 billion), warehouses and cold storage facilities (N9.13 billion), terminal buildings (N5.73 billion), cargo handling equipment (N11.6 billion), operational vehicles (N5.44 billion), and operational systems (N1.74 billion).
- Imo State Governor Hope Uzodimma, in his speech, highlighted upgrades at Sam Mbakwe International Cargo Airport (SMICA), including night landing facilities to ensure operational reliability.
He also noted that Imo is actively seeking a public-private partnership (PPP) concession for the underutilized SMICA Cargo Terminal to unlock its full economic potential and position it as the premier cargo hub for the South-East and South-South zones.
The initiative will integrate the airport with the Orashi Special Energy Free Trade Zone (OSEFTZ), leveraging Imo’s gas reserves to create a logistics corridor connecting energy, agriculture, and digital products to global markets.