Joda Committee wants FG to Merge Debt-Laden Airlines into a National Carrier

A 19-member committee set up by the  ruling All Progressives Congress has advised the President Muhammadu Buhari administration to consolidate debt-laden airlines in the country and create a national carrier that will partner with a global airline to boost revenue and create jobs.

According to a Reuters report, the strategy report submitted to the President by the Ahmed Joda-led committee may play a pivotal role in policy decisions to be made by Buhari administration.

It should be recalled that the Asset Management Corporation of Nigeria, three years ago, took on more than N132bn of debts from 12 Nigerian airlines, including the biggest carrier, Arik, and Aero.

The APC strategy document states that the Aviation ministry should create a national airline “in partnership with a global airline,” which would involve “merging all airlines currently with AMCON” to serve as a West and Central African hub.

The report, submitted to Buhari about two weeks ago, stated that the proposals would lead to “increased revenue, reduce capital flight, expand the local aviation industry and create more employment opportunities due to the scale created.”

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By 9jatravel / Administrator, bbp_keymaster

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on Jul 03, 2015

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