REPS PUSH TO RECLAIM $7BN FROM INTERNATIONAL AIRLINES
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By: Balogun Ibrahim
House of Representatives Moves to Recover Over $7bn from Foreign Airlines
The House of Representatives has begun efforts to recover more than $7bn allegedly owed to the Federation Account by foreign airlines operating in Nigeria since 2023.
The disclosure was made on Tuesday in Abuja by Abiodun Faleke, Chairman of the House Committee on Finance, during the launch of the review of the 2023–2025 revenue monitoring exercise of the Federal Airports Authority of Nigeria (FAAN).
Faleke, representing Ikeja Federal Constituency in Lagos State, raised concerns over the significant debts owed by both foreign and domestic airlines, following submissions by FAAN’s Managing Director, Mrs Olubunmi Kuku.
Kuku informed the committee that out of N25.86bn owed by airline operators in 2023, FAAN recovered N8.08bn, or 31.25 per cent, leaving an outstanding balance of N17.78bn. She did not provide details of recoveries for 2025.
Documents presented to the House Committee on Finance showed that out of an approved revenue target of N292.93bn for the period under review, the Federal Airports Authority of Nigeria (FAAN) generated N191.43bn, achieving 65.35 per cent of the target and leaving a shortfall of N101.5bn.
FAAN’s Managing Director, Mrs Olubunmi Kuku, explained that the outstanding debts were owed by both foreign and domestic airlines, including defunct carriers. She noted that the International Air Transport Association (IATA) is responsible for remitting certain revenues from foreign airlines, a process she said has caused delays in payments.
Lawmakers, however, expressed dissatisfaction with the explanations, highlighting concerns over Nigeria’s rising public debt and ongoing foreign borrowing to fund the national budget. They also questioned FAAN’s accounting framework and pointed out inconsistencies in the revenue performance figures presented.
Reacting, Faleke said, “We are aware that when President Bola Tinubu assumed office, over $7bn was owed by international carriers. We want a complete record of all debts for 2023, 2024, and 2025, and when the call is made, we want to identify all those who owe.”
Faleke emphasized, “The issue of passenger data is critical. Beyond that, we want to know how many airlines are actually flying to Nigeria. How many flights did you handle in 2023, 2024, and 2025? How many passengers? I’m sure you have the manifests.”
He directed FAAN’s management team to reappear before the committee with a full statement of indebtedness from 2023 to 2025, including detailed manifests of both foreign and domestic airlines operating during the period under review.
Airlines operating in Nigeria are required to remit various statutory charges to the Federal Government through FAAN and other aviation agencies. These include landing and parking fees, passenger service charges, terminal navigation charges, and other regulatory levies.
However, concerns have long persisted over delayed payments and accumulating debts from both local and international carriers. Some defunct domestic airlines reportedly left behind substantial unpaid obligations, while payments from foreign airlines are often processed through international clearing systems coordinated by global aviation bodies.
The issue of outstanding airline payments has gained renewed attention amid increased revenue oversight by the House Committee on Finance.
In recent months, the committee has launched an extensive revenue monitoring exercise targeting government agencies to boost remittances into the Federation Account and reduce reliance on borrowing.
Amid Nigeria’s fiscal pressures and a growing budget deficit, lawmakers emphasized that curbing revenue leakages—including unpaid aviation charges—is essential for strengthening public finances and funding infrastructure projects without increasing debt.
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