IATA calls for Nigerian Government to provide financial relief for aviation sector

IATA called for (06-May-2020) Nigeria's Government to provide aviation specific financial relief measures to address the severe impact of the COVID-19 crisis on the air transport sector. The government has introduced broad economic relief packages, but IATA urged the implementation of specific financial relief measures for aviation to ensure the sector will be capable of driving the recovery. IATA estimates the crisis places 124,000 Nigerian jobs at risk and it may have a USD900 million impact on the country's GDP. Prior to the crisis, aviation contributed USD1.7 billion to Nigeria's GDP and supported 241,000 jobs. IATA stated the government should consider the following measures:

• Direct financial support to passenger and cargo carriers;
• Loans, loan guarantees and support for the corporate bond market by the government or central bank;
• Tax relief such as rebates on payroll taxes and/or an extension of payment terms;
• Financial relief on airport and air traffic control charges and taxes;
• The reduction, waiver or deferral of government imposed taxes and fees;
• Foreign exchange availability.

IATA regional VP for Africa and the Middle East Muhammad Albakri stated: "Given the importance of air transport for Nigeria's economy and connectivity, the government must not let aviation fail... Without a viable aviation sector Nigeria's eventual recovery from COVID-19 will be longer and even more painful". Mr Albakri added: "Aviation-specific financial relief measures are urgently needed as a matter of survival". [more - original PR]