Airline operators beg FG to ease forex restrictions

According to media reports, the Airline Operators of Nigeria (AON) yesterday appealed to the federal government to change its decision to stop supply of foreign exchange to bureaux de change operators in the country.

Nigeria CommunicationsWeek reports that Nogie Meggison, president of AON, made the appeal while addressing journalists in Lagos.

Meggison stated that the CBN’s decision had created adverse effects on airline operations in the country.

“The exchange rate in the parallel market is going for as high as N305 per dollar. As we all know, foreign exchange is very difficult to access now. We met the CBN Governor, Mr Godwin Emefiele, in November 2015 and he promised us that he would look into it. About 80 per cent of aviation cost is directly affected by this decision on foreign exchange. It affects the buying of aviation fuel and spare parts, simulator training of pilots and processing of insurance. We are appealing to the Federal Government because it is pretty difficult at this time; cost of operation is high,” he said.

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“No airline has hiked fares so far because we are feeling for Nigerians, although the current exchange rate has risen to N305 to $1. It is a free market and there is no law that restricts us from doing that or not to do that, but because we feel for Nigerians we are sacrificing. Hiking fare is not the issue right now because we are looking at how to maximise whatever we have and give proper services to our passengers,” he said.

According to Meggison, the AON wants to partner the Federal Government on methods of cushioning the effects of the CBN policy on airline operations.