Business

Aviation Minister threatens to cancel contracts in aviation agencies, to deliberate on NAMA Budget

The Minister of Aviation and Aerospace Development, Mr. Festus Keyamo has threatened to cancel some of the contracts in the aviation industry, especially that of the Nigerian Airspace Management Agency (NAMA).

The minister also lamented that no fewer than 100 airlines have collapsed in the last 20 to 25 years in the Nigerian aviation industry and expressed worries at the spate of deaths.

Keyamo stated these on Saturday at the Aviation Industry Stakeholders’ Forum, held in Lagos.

At the forum, all the airlines, represented by the Airline Operators of Nigeria (AON), International Air Transport Association (IATA), ground handling companies, catering services and unions were represented.

Keyamo especially said that NAMA entered into some obsolete and needless contracts with foreign companies at the detriment of the industry and the country at large.

He threatened that some of those contracts would be revoked very soon by the government.

Also, he specified that the ministry would sit together with the management of NAMA on the 2024 budget proposal to the national assembly, saying that their projects must be critically scrutinised to prevent a repeat of the past.

Besides, Keyamo threatened to sack any of the agencies’ Chief Executive Officers (CEOs) who may not fall in line with the Key Performance Indexes (KPIs) of the government.

Keyamo explained that he had signed a Key Performance Index (KPI) bond with President Bola Tinubu, alongside other ministers of the federation, stressing that he was under obligation to perform.

Kayamo explained that the purpose of the forum was to receive inputs from all stakeholders in the sector.

He maintained that their inputs would add value to the roadmap and focus of the industry, while also enabling it to prioritise activities in the sector.

The minister also said that the government was taking a concrete decision on the Nigeria Air project, saying that the file was on the table of Tinubu.

Besides, Keyamo decried the continuous death of indigenous airlines, promising that the government would henceforth support the carriers.

He pointed out that at least 100 airlines had collapsed in the last 20 to 25 years in the country, saying this was worrisome.

He, however, said that the Federal Government would help the operators to grow, but the airlines, too, must be ready to show seriousness about their operations.