Business
Year of fleet, infrastructure expansion
As operators , players and regulators file the flight plan for 2026 , achieving headwinds for the strategic industry would require continuation of on – going rehabilitation of airport and air navigation infrastructure and other interventions intended by the Federal Government to change the face of the air transport ecosystem and passengers’ travel experience. As 2026 unfolds, industry watchers look forward to resolution on issues bordering on concession of airports, sustainability of existing and fledgling carriers as well as automation of airports’ revenue points. Significantly, parameters to achieving robust regulation for the sector, hurdles around leasing of airplanes , the foray of State Governments into airline/cargo business and other developments will be on the burner , writes KELVIN OSA – OKUNBOR
As the aircraft of the aviation sector taxies into the runway for Flight 2026 take – off, expectations are high of the series of activities lined up for the months ahead as the on- going refurbishment of the Murtala Muhammed International Airport (MMIA), Lagos consolidates.
Industry watchers are optimistic that the Federal Government’s decision to plough over N712 billion into the project will change both the ambience and functionality of the premier gateway into the country.
The project , which started last year is already gaining traction as construction work is advancing around the Lagos International Airport.
Experts and industry watchers say the progress of the project will be a major shift in aviation infrastructure, demonstrating the Federal Government’s desire to bring airport facilities up to the required global standards.
Speaking in an interview, Managing Director of the Federal Airports Authority of Nigeria (FAAN), Mrs Olubunmi Kuku said the 2026 will be a defining moment for the airport authority as it recalibrates its strategy to improve airport infrastructure and other interventions that will improve the travel experience for users of the facility.
Kuku also outlined several key plans for 2026, primarily focusing on completing the transition to a fully cashless operation and leveraging this to reinvest in infrastructure and cargo development.
The FAAN boss said the authority as part of activities to look forward to in 2026 is the full implementation of the cashless policy, for which it has set the first quarter as deadline.
She said : “ This initiative, which began its pilot phase in late 2025 at the Lagos and Abuja airports, is expected to increase revenue collection by 75 percent , with the ultimate goal of tripling revenue within the first year of full implementation. The additional funds are earmarked for infrastructural development.Funds generated from the new revenue streams, along with other financing efforts, will be strategically reinvested into improving infrastructure across Nigerian airports. This includes addressing issues like aging runways and completing ongoing rehabilitation works to move away from “haphazard” fixes to long-term structured improvements.
“A major focus for 2026 is transforming Nigeria into a dominant cargo hub for West Africa, shifting from being primarily import-driven to a strategic gateway for exports.
“ FAAN aims to align with global best practices through partnerships with international experts in ground handling, logistics, and management. This also involves closing International Civil Aviation Organization (ICAO) audit gaps and enhancing staff capacity through certified training programs.
“Overall, 2026 is viewed by FAAN management as a year of significant progress and accomplishment, focused on efficiency, transparency, and elevating the Nigerian aviation experience to global standards.”
Besides the airport authority, watchers of the aviation ecosystem look forward to how the Federal Government will navigate the contention around the concession of some airport terminals, which is expected to migrate into private sector management.
Speaking on the development, The newly elected President of the Air Transport Services Senior Staff Association of Nigeria (ATSSSAN), Comrade John Ogbe said managers should focus in 2026 on improving workers’ welfare, fostering an inclusive union environment, and engaging in constructive negotiations with industry stakeholders.
Ogbe said the welfare of ATSSSAN members will be the central focus of the industry , ensuring the union is truly run by and for its members.
He intends to move away from “banging on tables” to a more collaborative approach in negotiations with government and private-sector employers. Ogbe plans to work with government agencies, private sector players, and other partners to help pilot and deliver necessary progress for the Nigerian aviation industry as a whole.
As the industry rides on the optimism of recovery, experts look forward to the establishment of more indigenous carriers as the Nigerian Civil Aviation Authority (NCAA), issues more Air Operators Certificate (AOC), for fledgling carriers. These new entrants are expected to add value to the ecosystem offering capacity and boosting competition.
Among the carriers expected to commence flight operations in 2026 include : Binani Airlines, Pioneer Airlines, K- Impex Airlines and others that have secured approvals to fly.
In 2026, the investment space into aviation is expected to be expanded as more State Governments join Enugu, Akwa Ibom , Ogun , Ebonyi , Bayelsa and others to either acquire aircraft for airlines or explore opportunities in the cargo / logistic value chain.
Speaking on the development, Group Managing Director of Finchglow Holdings, Mr Bankole Bernard disclosed plans of diversification for 2026.
According to the former president of the National Association of Nigerian Travel Agencies (NANTA), 2026 will witness more players venturing into cargo airlines and an aviation flying school with foreign partners.
Bernard said the year 2026 will offer opportunities for players in the aviation and allied sectors to engage State Governments as more airports are being constructed in their domains, projecting that cargo business will gain more traction as players optimise benefits in the value chain.
To drive this, he said his enlistment as Chairman of Cargo Accounts Settlement System (CASS), offers a window to exploit the gains of cargo business in Nigeria.
CASS offers recognised settlement procedures, proper billing and seamless reconciliation. He said these functions will provide a transparent flow of funds between airlines and cargo agents, therefore encouraging investment and global confidence. Bernard added that Nigeria’s Cargo Business cannot grow without standards that reflect international expectations.
CASS limits direct dealings with airlines to IATA-accredited cargo agents. He said this step will push operators to formalise their activities if they wish to remain relevant in the Cargo Business.
He said several airlines have already begun full integration into the Nigerian CASS platform. He explained that while Ghana has operated CASS successfully for over two years, Nigeria’s progress was delayed by operational issues. His election has, however, renewed confidence and created fresh momentum among stakeholders. He said, “More airlines are showing interest because they see what has happened on the BSP.”
Bernard noted that Turkish Airlines will join the system in early 2026. He described the carrier as a major freight player that moves significant volumes into Nigeria each day. “By January, Turkish Airlines is coming fully on board. These are major carriers of cargo going into Nigeria daily,” he said.
He added that participation by such airlines lifts the credibility of the platform and deepens its value for Nigeria’s Cargo Business.
He linked the role of CASS to the global reach enjoyed by airlines in the BSP. Bernard said BSP allows a passenger ticket to be issued in any part of the world, and CASS will now extend similar benefits to freight.
He stressed that CASS will force a renewed focus from the Federal Airports Authority of Nigeria. According to him, “FAAN will see the direction of cargo business immediately and they’ll start to pay attention to it.
He noted that a meeting with the FAAN Managing Director is planned for January or February 2026 to discuss the role of CASS and its value proposition to the Nigerian market.”
On the regulatory front, industry watchers look forward to enhanced oversight duties by the NCAA, which is already putting measures in place to boost its civil aviation police duties.
Significantly, experts look forward to intensified overhaul of key units in the NCAA to boost its global image as the authority enhances the discharge of its duties.
They say the NCAA should step up its sanction of airlines in order to protect the interest of the members of the flying public .
According to NCAA’s Director of Public Affairs and Consumer Protection, Mr Michael Achimugu, seven airlines were sanctioned in 2025 for various violations of passenger rights.
He warned of stricter enforcement and more penalties will follow in 2026 as part of efforts to improve service quality across the aviation ecosystem.
He also urged air travellers to stop repeatedly patronising airlines that consistently offer poor services and instead explore better alternatives available in the market.
“Flight delays and cancellations will never end. Not in Nigeria, not on earth. What we can do is bring them down to the barest minimum, but more importantly, enforce the regulations by ensuring that airlines provide the care that passengers are entitled to during a disruption. We will also sanction airlines a lot in 2026. 7 were sanctioned in 2025, but we will do more in 2026,” he said.
He added that flight delays and cancellations are a global reality and cannot be completely eliminated, but can be reduced to the barest minimum through effective regulation and strict compliance with consumer protection rules.
“What we can do is enforce regulations to ensure airlines provide the care passengers are entitled to during disruptions. We will also sanction airlines a lot more in 2026,” Achimugu said.
From the ground handling perspective , operators look forward to the diversification of business for players in the sector in 2026 as they explore investment into courier business, travel and hospitality and other businesses.
Speaking on the outlook for 2026, Managing Director of Skyways Aviation Handling Company ( SAHCO) Plc, Mrs Adenike Aboderin the company will focus on other revenue streams beyond ground handling to establish other businesses.
On the indigenous airlines front the year 2026 will be defining as operators will try their hands out on route expansion into regional and intercontinental routes.
Airlines to watch will include : Air Peace, Ibom Air, United Nigeria Airlines , Overland Airways , NGEagle Airlines, UMZA Airlines, Max Air , Green Africa Airways and ValueJets Airlines.
Attention , experts say should also beam on Lagos State Government as it wraps up plans to attract investors into the commencement of its airport in the Lekki/Epe corridor; Ogun State Government as flight and other activities intensifies at its airport in Iperu , near Sagamu in the gateway state.
Experts say, it is unclear whether the Federal Government will activate plans on the establishment of the controversial national carrier – Nigeria Air.
Industry watchers are optimistic that the sector will achieve headwinds on the conditions attached to the leasing of airplanes by indigenous operators as Nigeria exits the list of blacklisted countries by global aircraft lessors and other entities that facilitate airplanes for airlines.
This expectation is coming on the heels of the quick wings achieved by the Ministry of Aviation and Aerospace development.
Nigeria, recently exited the global aircraft lessor blacklist after years of being considered high-risk, thanks to reforms like adopting the Cape Town Convention and signing IDERA, significantly improving its aviation compliance score and restoring confidence for easier access to dry-leasing, a more cost-effective method for airlines to acquire aircraft.
The Aviation Working Group (AWG) removed Nigeria from the blacklist allowing its carriers to secure more favorable lease deals.
Nigeria implemented a new practice direction allowing lessors to repossess aircraft within five days of default, addressing a major past concern.
The blacklisting stemmed from past defaults and legal issues that made lessors hesitant to provide aircraft.
By implementing legal and regulatory reforms, Nigeria has removed these barriers, allowing its aviation sector to grow more sustainably.
Source link
