Aviation Cabotage law will save Nigeria N200bn – Ex-NBA President

Former President of the Nigerian Bar Association (NBA), Olisa Agbakoba has said that the introduction of an Aviation Cabotage law will save Nigeria N200 billion annually.

The aviation and maritime expert made the comments during a seminar on setting aviation agenda for incoming government of President-elect, Muhammadu Buhari.

Agbakoba said:

“With about 170 million persons and regional economic potentials, 22 airports, a growing mass of flying middle class, Nigeria’s aviation requires massive revamping in terms of infrastructure, legal, institutional and administrative frameworks. “

“The Economic Benefits of Aviation and Performance in the Travel & Tourism Competitiveness Index Report 2013 states that the aviation industry supports tourism and international business by providing the world’s only rapid worldwide transportation network.”

“Airlines transported 2.8 billion passengers and 47.6 million metric tonnes of air cargo in 2011, connecting the world’s cities with 36,000 routes. By providing these services, the aviation industry plays an important role in enabling economic growth and providing various economic and social benefits.”

“The International Air Transport Association (IATA) commissioned Oxford Economics to estimate the economic and social benefits of aviation in over 80 countries. The report shows that the economic value created by the industry goes beyond the value captured by these measures. The study also investigated the positive impacts of the connectivity provided by air transport services.

“The connections made between cities and markets produce an important infrastructure asset that facilitates activities that enhance a nation’s productivity. More specifically, it concludes that air transport enables foreign direct investment (FDI), business cluster development, specialization, and other spill-over effects.”

Agbakoba also said that the dwindling oil revenue has made it necessary for the incoming administration to focus on the aviation sector for economic diversification.