Nigeria could retain a larger share of the foreign exchange currently spent on imported aviation services and technology if local businesses build capacity across aircraft maintenance, drone manufacturing, sustainable aviation fuel (SAF) and other segments of the aerospace value chain, Festus Keyamo, minister of aviation and aerospace development, has said.
Keyamo said developing domestic aviation technology and services would reduce foreign exchange outflows, create jobs and deepen industrial activity, as the government seeks to expand the commercial opportunities available to Nigerian businesses beyond traditional airline operations.
The minister made the submission at the opening of House of Tenposs, a creative entrepreneurship hub in Lagos, where he was represented by Janet Oputa, his special adviser on service delivery.
According to Keyamo, the scale of opportunities in aviation extends beyond flying passengers and cargo, with significant room for private investment in maintenance, manufacturing, technology and fuel production.
He identified aircraft maintenance, repair and overhaul (MRO) as one of the areas where Nigeria continues to rely substantially on facilities outside the country, resulting in aviation-related spending leaving the domestic economy.
Building stronger local MRO capacity, he said, would allow airlines to retain more of their maintenance expenditure within Nigeria while creating specialised jobs and supporting an aviation services ecosystem.
The minister cited Air Peace’s maintenance facility in Lagos as an example of the type of domestic infrastructure needed to reduce the industry’s dependence on foreign maintenance facilities.
Keyamo also identified drone manufacturing as an emerging commercial opportunity, pointing to applications across agriculture, logistics, infrastructure inspection, emergency response and defence.
Sustainable aviation fuel was another area highlighted by the minister as requiring greater domestic investment.
Keyamo said cassava residues could serve as feedstock for SAF production, while Nigeria’s refining capacity could provide a foundation for developing the industry.
Keyamo urged entrepreneurs to look beyond conventional aviation businesses and consider opportunities across the broader aerospace value chain.
He said investment in areas such as maintenance, manufacturing, fuel and aviation technology could help create an industrial base capable of supporting the expansion of Nigeria’s aviation sector while retaining more economic value domestically.
The minister also disclosed that Nigeria’s compliance score under the Cape Town Convention had risen from 49.5 percent to 75.5 percent following measures introduced by the government.
Keyamo also disclosed that the Federal Executive Council approved the establishment of the Nigeria Aircraft Leasing Company in April 2026 to acquire or lease aircraft for Nigerian operators.
The proposed leasing company is expected to provide another mechanism for supporting Nigerian airlines’ access to aircraft, potentially reducing some of the financing constraints facing operators seeking to expand or renew their fleets.
Taken together, the measures point to a government push to strengthen the infrastructure and institutional framework supporting Nigeria’s aviation industry.
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