The National Association of Nigeria Travel Agencies (NANTA) has highlighted a significant shift in the air travel market, with high airfares in Nigeria driving passengers to opt for flights from neighboring countries like Ghana and Togo, where fares are comparatively cheaper. This trend, according to NANTA President Mrs. Susan Akporiaye, not only impacts local travel operators but results in a substantial loss of tax revenue for Nigeria.
In a press briefing in Lagos, Akporiaye pointed out the multifaceted challenges that have plagued the Nigerian air travel sector, including the difficulty in clearing international airlines’ trapped funds and the unstable Naira exchange rate against the dollar. These issues have led to a reduction in airfares within the country as foreign airlines begin releasing lower fare inventories, yet the impact of previous high rates continues to linger.
“The majority of the tickets we sold were out of Nigeria. Those sales were not attributed to the Nigerian market,” Akporiaye stated, illustrating how revenue that could benefit Nigeria is instead boosting the travel markets of Ghana and other West African nations. The closure of lower fare inventories to Nigerian agencies forced a shift in sales strategy, with agencies booking flights from Lagos to London, for example, through Ghana, thereby attributing revenue to Ghana rather than Nigeria.
Akporiaye also reflected on her four-year tenure as NANTA President, describing it as fraught with challenges, including the struggle to free foreign airlines’ funds trapped due to forex restrictions and the dire impact of unstable foreign exchange rates on passenger decisions to fly from Nigerian airports.
As NANTA approaches its presidential elections on April 26, Akporiaye emphasized the importance of peace and unity within the association. “I am not leaving behind a sword for NANTA, but peace and unity,” she remarked, underscoring her hope for a stronger and more unified travel agency community post-election.
This situation underscores the broader implications of fiscal and regulatory policies on national industries, particularly how the competitiveness of Nigeria’s air travel sector is influenced by external economic factors and internal management practices.
