The Federal Government has stepped up measures to address the rising cost of aviation fuel and the growing pressure on airline operators, as part of broader efforts to stabilise the sector and protect passengers from higher fares.
This comes as the Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, confirmed that he recently held talks with the Minister of Aviation and Aerospace Development, Festus Keyamo, on the challenges facing the industry.
In a post on X, Oyedele said both ministers had “constructive discussions on the challenges facing the aviation sector, particularly the recent sharp rise in the cost of aviation fuel and its impact on airlines’ operations and pricing.”
He added that the meeting also focused on opportunities to reposition the sector for growth, noting that government efforts are aimed at building “a more sustainable, efficient, and competitive aviation industry that supports economic activity and connectivity.”
The discussions followed fresh government intervention earlier in the week to ease mounting pressure on domestic airlines. Authorities approved a 30 per cent discount on outstanding debts owed by local carriers to aviation agencies, a move expected to provide immediate financial relief.
Announcing the development after a high-level meeting in Abuja, Keyamo said the decision was approved by President Bola Tinubu. The meeting brought together oil marketers, airline operators, regulators, and other stakeholders amid concerns that rising Jet A1 fuel prices could disrupt flight operations.
Domestic airlines had warned of possible service cuts or fare increases if the situation persisted, raising fears of reduced connectivity and higher travel costs for Nigerians.
Beyond the aviation sector, Oyedele also outlined his broader economic agenda as he settles into his role. He said the government’s immediate focus is to build on ongoing reforms and ensure they deliver real benefits to citizens.
According to him, priority areas include boosting productivity and economic growth by creating a stable and investor-friendly environment, maintaining fiscal discipline through careful management of public funds, and improving revenue generation while ensuring fair taxation that does not overburden vulnerable groups.
He also stressed the need for stronger coordination across government institutions and deeper collaboration with the private sector to improve policy design and implementation.
“Good policy design alone is not enough, success will be defined by execution. We are committed to disciplined implementation, accountability, and measurable results,” Oyedele said.
He added that he looks forward to working with stakeholders across both the public and private sectors to move the economy from reform plans to tangible outcomes, with the goal of achieving faster growth and a more stable and inclusive economy.