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Home Business & Finance Business

Reps orders FAAN to recover N18.98bn from foreign airlines

Quadri Olaitan by Quadri Olaitan
March 11, 2026
in Business
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FAAN

House of Representatives directs FAAN to recover N18.98bn owed by foreign airlines within two weeks, warning of stricter enforcement for unpaid liabilities

The House of Representatives Committee on Finance has directed the Federal Airports Authority of Nigeria (FAAN) to recover N18.98bn owed to the Federal Government by foreign airlines operating in Nigeria within two weeks.

Also read: FAAN issues 100,000 airport access cards amid cashless disruption

The directive was issued on Tuesday by Committee Chairman James Faleke during a session where FAAN officials, led by Managing Director Olubunmi Kuku, appeared before the panel as part of ongoing revenue monitoring exercises.

Lawmakers expressed serious concern over the growing debt profile of international carriers, describing the accumulation of such liabilities as unacceptable given the clearly defined two-week payment window for airport service charges.

Kuku presented a detailed breakdown of the outstanding debts, highlighting major airlines including Qatar Airways and Lufthansa at approximately N1.5bn each, while Virgin Atlantic owes about N1.35bn.

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Other carriers such as KLM, EgyptAir, Ethiopian Airlines, Air France, Royal Air Maroc, Turkish Airlines, and Africa World Airlines have varying liabilities ranging from N700m to over N1bn.

Kuku explained that delays are often linked to the global settlement system operated by the International Air Transport Association (IATA), which consolidates payments across multiple jurisdictions.

She added that FAAN closely monitors overdue debts, with enforcement measures intensifying after 30 days and domestic airlines occasionally grounded if payments remain unsettled.

Despite the explanation, lawmakers insisted on stricter enforcement to prevent continued debt accumulation, warning that airlines failing to meet the two-week repayment directive could be summoned before the House to justify outstanding liabilities.

Faleke emphasised the importance of revenue recovery, stating: “We need every kobo that belongs to this country,” and warned that operators violating financial obligations would be held accountable.

The outstanding debts comprise passenger service charges, landing and parking fees, aeronautical service charges, and other operational levies collected by FAAN, which are essential to maintaining airport operations and supporting national revenue.

Also read: FAAN adjusts toll policy after traffic chaos

This directive is part of the National Assembly’s broader initiative to strengthen revenue collection, prevent income leakages, and ensure compliance by key operators in critical sectors of the Nigerian economy.

Quadri Olaitan
Quadri Olaitan

Quadri Olaitan is a journalist and contributor to Freelanews.com, covering news, public affairs, and human-interest stories.

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