Nigeria’s Airport Privatization Efforts Peter Out

Kevin Rozario

London

September 29, 2023

mod nigeria lagos LR seun idowu unsplash

Lagos city center at night.

© Seun iIowu / Unsplash

mod Nigeria Minister of Aviation and Aerospace Festus Keyamo

Nigeria's Minister of Aviation and Aerospace Festus Keyamo aims to build his reputation on transparency.

© Ministry of Aviation

After some hopeful signs over recent years that Nigeria’s four leading international gateways—Abuja’s Nnamdi Azikiwe International Airport (ABV), Mallam Aminu Kano International Airport (KAN) in Kano, Murtala Muhammed International Airport in Lagos (LOS), and Port Harcourt’s eponymous gateway (PHC)—might be privatized, the momentum has suddenly evaporated.

Major plans for the privatization have been shelved, at least for now. Despite RFQs being issued as long ago as August 2021, the process appears to have come to an end following a September 2023 announcement from the country’s new Minister of Aviation and Aerospace Development.

The Minister, Festus Keyamo, said that he was suspending the airport concessions program—and the launch of Nigeria Air a flag carrier first proposed in 2018—“due to complaints from agencies of government” and what he called “red flags” according to several national news providers.

The problem seems to be political in the sense that newly arrived Keyamo, who has only been in his aviation role since August 21st, did not want to rubber stamp projects from a previous administration over which he had not had oversight. It appears he will review the decisions made on the concessions by his predecessor Hadi Sirika in due course in the name of transparency.

On a visit to LOS—the busiest airport in Nigeria—he dropped the bad news for the bidders involved, and at the same time said that he was giving all carriers at the Lagos gateway until October 1 to move to its underused new terminal as the old one was “smelly” and “a total eyesore” in his words, with the air conditioning not working and carousels breaking down “quite often.”

Read on for more details about why the privatization process has been put on hold.

Investor Insights

Subscriber-only content. You must be signed in and have a subscription plan to view this information.

Not a member of airportIR?

Subscribers receive access to value-added content including the latest Deal Pipeline intel, in-depth feature articles and analysis, operator/investor profiles, industry insights, reports and much more.

What's Included

  • In-depth deal pipeline content
  • Feature articles and analysis
  • Detailed operator/investor profiles
  • Industry insights, reports and much more

Lorem ipsum dolor sit amet, consectetur adipiscing elit. Proin faucibus arcu et sem dapibus, faucibus viverra ex semper. Sed maximus urna quis lectus porta gravida. Sed enim sem, ullamcorper at tempor et, tincidunt eget purus. Etiam vitae iaculis dolor. Etiam commodo tempus turpis. Integer ac nunc ac leo facilisis tempus. Pellentesque quis sagittis diam. Fusce congue pulvinar interdum. Curabitur porta libero enim, ullamcorper condimentum diam accumsan quis. In tempor egestas risus, id congue nibh cursus in. Cras sollicitudin fermentum orci et eleifend.

Nam eget imperdiet risus, at luctus nulla. Nullam porttitor, est quis viverra fringilla, ipsum velit tincidunt massa, vel egestas lacus velit eget mauris. Proin finibus condimentum tellus, in commodo felis dapibus a. Curabitur luctus et sapien a dapibus. Mauris faucibus dapibus justo vitae varius. Proin quis mauris eros. Curabitur tincidunt feugiat dignissim.

Lorem ipsum dolor sit amet, consectetur adipiscing elit. Proin faucibus arcu et sem dapibus, faucibus viverra ex semper. Sed maximus urna quis lectus porta gravida. Sed enim sem, ullamcorper at tempor et, tincidunt eget purus. Etiam vitae iaculis dolor. Etiam commodo tempus turpis. Integer ac nunc ac leo facilisis tempus.