Reps Give FAAN Two-Week Deadline to Recover ₦18.98bn Debt from Foreign Airlines in Nigeria

Chairman of the Senate Committee on Finance, Senator Sani Musa, and the Chairman of the House Committee on Finance, James Faleke.

By Our Correspondent

National News – Nigeria’s House of Representatives Committee on Finance has ordered the Federal Airports Authority of Nigeria (FAAN) to recover ₦18.98 billion owed by foreign airlines operating in the country within two weeks.

The directive followed concerns by lawmakers over the growing debt profile linked to airport service charges owed to the Federal Government.

The order was issued by the Chairman of the committee, James Faleke, during a revenue monitoring session where the Managing Director of FAAN, Olubunmi Kuku, appeared before lawmakers.

Faleke said the mounting debts by international carriers raised serious concerns about revenue enforcement and accountability within Nigeria’s aviation sector.

During the hearing, FAAN disclosed that several international airlines have accumulated unpaid charges, some stretching beyond the stipulated two-week payment deadline for airport services.

According to Kuku, airlines are required to settle operational fees—including passenger service charges, landing fees, and parking charges—within 14 days of billing.

Among the airlines listed as debtors were Qatar Airways, Lufthansa, British Airways, Virgin Atlantic, KLM Royal Dutch Airlines, EgyptAir, Ethiopian Airlines, Air France, Royal Air Maroc, Turkish Airlines and Africa World Airlines.

FAAN revealed that Qatar Airways and Lufthansa each owe about ₦1.5 billion, while Virgin Atlantic’s outstanding debt stands at approximately ₦1.35 billion.

Other airlines, including KLM, EgyptAir and Ethiopian Airlines, owe over ₦1 billion each across different service charge categories.

Lawmakers questioned why some airlines were allowed to accumulate debts exceeding 30 days, 90 days, or even over a year, despite the clearly defined payment window.

Members of the committee warned that allowing operators to continue flying without settling their obligations could weaken revenue enforcement and result in significant financial losses for the government.

In her response, Kuku explained that international airline payments are processed through the global clearing system managed by the International Air Transport Association (IATA).

The system aggregates payments from airlines operating across multiple countries before distributing funds to airport authorities, sometimes causing delays in settlements.

Despite the explanation, the committee insisted on stricter enforcement measures.

Lawmakers directed FAAN to provide detailed documentation and addresses of all indebted airlines and warned that defaulting operators could be summoned before the House if the debts are not cleared within the two-week deadline.

Faleke stressed that Nigeria must recover every kobo owed to it, noting that stronger oversight is necessary to prevent revenue leakages in critical sectors such as aviation.

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