The House of Representatives has alleged that foreign airline operators are breaching the extant financial regulations issued by the Central Bank of Nigeria (CBN) on foreign exchange, leading to the blocked $700 million belonging to the operators.
Femi Gbajabiamila, speaker of the House stated this a meeting with stakeholders in the aviation sector in Abuja on Monday.
At the meeting, Airline Operators of Nigeria (AON) expressed concern over capital flight, breach of Bilateral Air Service Agreement (BASA), high cost of tickets/airfare imposed on Nigerians estimated at about 50% above other countries including Ghana, South Africa, among others by the foreign operators.
In his remarks, Obiora Okonkwo, the
chairman of United Nigeria Airline who spoke on behalf of AON, alleged that foreign airlines after receiving payment at the N740 parallel market rate are fond of compelling CBN to secure the N447 official exchange rate.
The AON also accused the authorities of International Air Transport Association (IATA) of favoritism in the implementation of policy and regulations, alleging that foreign airlines are barring Nigerians from using debit cards to pay for the tickets.
Samson Fatokun, IATA’s Area manager West & Central Africa said the foreign airlines are demanding for the repatriation of $700 million blocked fund since 2020 to date.
According to Fatokun, it is not written in any BASA that they have to sell in dollar or not sell in dollar and it’s s a CBN regulation that airlines are not expected, should not sell in dollars.
Gbajabiamila also said that there is need to look for solutions and pleaded with foreign airlines to show some good faith and open up their portals for business to continue as usual so that Nigerians can purchase their tickets so that the Travel Agents can work while this is going on.
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