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Home Business Traveller/Hospitality

Nigeria to maintain greater private sector aviation model with PPP thrust

by Onome Amuge
July 21, 2025
in Business Traveller/Hospitality
Nigeria to maintain greater private sector aviation model with PPP thrust

Sade Williams/Business a.m.

Richard Aiseubeogun welcoming Idris Kana, permanent secretary, Ministry of Aviation and Aerospace Development, with Fortune Idu, convener, Airport Business Summit and Expo (ABSE); and Henry Agbebire of Federal Airports Authority of Nigeria (FAAN) at the 25th Airport Business Summit and Expo (ABSE) Day One

Nigeria will maintain a policy thrust that aims to see greater private sector involvement in its aviation industry, Muhammed Idris Kana, permanent secretary, Ministry of Aviation and Aerospace Development, has assured. 

In this regard, Kana said the federal government will continue to apply the Public-Private Partnerships (PPP) model in the development of the aviation sector.

Kana spoke at the recently held Airport Business Summit and Expo, in Lagos,where he insisted that aviation remains a critical enabler of economic growth,  serving not only as a catalyst for trade, tourism, and investment, but also as a symbol of national connectivity and international competitiveness, hence the Nigerian government decision to make deliberate policy choices aimed at opening the sector to greater private sector involvement, thereby enhancing infrastructure, boosting operational efficiency, and delivering world-class services.

On the efforts of the government in facilitating Public-Private Partnerships in the aviation and aerospace sector, Kana said: “Under the Renewed Hope Agenda of  President Bola Ahmed Tinubu, the government has reaffirmed its commitment to fostering Public-Private Partnerships as a key mechanism for sustainable development. In the aviation sector, this is not merely aspirational—it is demonstrable.

“The Ministry, in line with the Infrastructure Concession Regulatory Commission (ICRC) framework, has championed a number of landmark PPP initiatives designed to reposition the industry. These include the concession of terminal operations at major international airports — such as Lagos, Abuja, Port Harcourt, and Kano — as well as Build-Operate-Transfer (BOT) models for cargo terminals, maintenance hangars, and airport hotel infrastructure,” he said.

On ongoing and completed PPP projects, Kana said the government has recorded measurable progress, adding that the successful concessioning of the Murtala Muhammed Airport Terminal II (MM2) remains a reference point for PPP success in West Africa.

“Additionally, the recent approval by the Federal Executive Council of new airport concession agreements underscores our resolve to crowd-in private capital, managerial expertise, and technological innovation.

“Furthermore, our engagement with international partners — including the International Civil Aviation Organisation (ICAO), African Development Bank (AfDB), and private equity investors — has created new avenues for funding critical infrastructure without overburdening public finances,” Kana added.

On creating an enabling environment for investment, he said the ministry has partnered other agencies to streamline procedures.

“We understand that PPPs thrive where the environment is stable, transparent, and predictable. To this end, the Ministry has worked closely with the Federal Ministry of Finance, the Bureau of Public Enterprises (BPE), and the ICRC to streamline procedures, de-risk investments, and ensure contractual clarity.

“Our Airport Development Master Plan is aligned with national economic priorities and regional development goals. This has been complemented by legislative reforms, enhanced regulatory oversight through the Nigerian Civil Aviation Authority (NCAA), and the upgrade of aviation security and safety infrastructure — all of which build investor confidence.

“Looking ahead, the journey is not over. We are currently exploring PPP models for air navigation services, aerotropolis development, and aerospace technology parks. We envision a future where Nigeria becomes a hub for regional air travel, maintenance repair and overhaul (MRO) services, and space science applications.

“In this regard, I invite all potential investors, local and international, to consider Nigeria not just as a market, but as a long-term partner in progress. We are open for business — and open to partnership,” he added.

Kana reaffirmed the ministry’s unwavering commitment to ensuring that “Nigeria’s skies remain safe, our infrastructure resilient, and our partnerships productive. With the private sector as a strategic ally, we are confident that the Nigerian aviation sector will not only meet the aspirations of today, but also soar into the opportunities of tomorrow.”

Onome Amuge

Onome Amuge serves as online editor of Business A.M, bringing over a decade of journalism experience as a content writer and business news reporter specialising in analytical and engaging reporting. You can reach him via Facebook and X

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