Reported By Mary Udezue | Edited by: Oravbiere Osayomore Promise.
The House of Representatives Committee on Finance has directed the Federal Airports Authority of Nigeria (FAAN) to recover ₦18.98 billion owed to the Federal Government by foreign airlines operating in the country, giving the agency a 14‑day deadline to complete the recovery process. The directive was issued during a committee session in Abuja on Tuesday as part of the lawmakers’ ongoing revenue monitoring and oversight responsibilities.
At the meeting, FAAN officials, led by Managing Director Olubunmi Kuku, were questioned by members of the Finance Committee over the persistent accumulation of unpaid charges by foreign carriers that use Nigerian airports. Lawmakers expressed frustration that significant sums that should have been remitted to government coffers have remained outstanding for years, even as the carriers continue to operate regularly in the country.
According to FAAN’s presentation, the outstanding debt consists of various airport charges owed by foreign airlines, including landing fees, passenger service charges, parking charges, aeronautical service fees, and other levies that FAAN is mandated to collect on behalf of the Federal Government. The agency revealed that several well‑known international carriers owe substantial amounts, and the total outstanding figure now stands at approximately ₦18.98bn.
Lawmakers pressed FAAN on why such debts were allowed to accumulate, pointing out that statutory guidelines require airlines to settle their obligations within specified timeframes, typically within two weeks of accruing charges. Committee members asked why airlines with overdue accounts had not been sanctioned or, in some cases, prevented from operating until their debts were cleared. They expressed particular concern that long‑standing debts suggest lax enforcement and a failure to protect government revenue.
In response, FAAN officials acknowledged that many foreign carriers owe outstanding amounts but explained that the settlement process for international airlines can be complex. They said that many foreign carriers participate in a centralised invoicing and payment system managed by the International Air Transport Association (IATA), through which charges are processed and remitted. This system can lead to payment delays, even when airlines intend to settle their obligations. FAAN noted that it monitors overdue accounts and engages with carriers, especially where debts exceed 90 days, but admitted that enforcement has faced challenges.
Despite the explanation, lawmakers remained dissatisfied and insisted that FAAN take more decisive action to recover the funds. The committee reiterated that FAAN should pursue all available avenues to ensure that the outstanding monies are paid, including direct engagement with the airlines, diplomatic pressure when necessary, and legal action. The committee also asked FAAN to provide a detailed breakdown of efforts made so far to recover the debts, including correspondence, demand notices, and records of meetings with the carriers involved.
During the session, FAAN provided a list of foreign airlines with significant indebtedness. Some of the carriers cited with large outstanding balances included globally recognised names, each owing sums running into hundreds of millions of naira. While exact figures for individual airlines were presented to the committee, the cumulative total across all debtors reached nearly ₦19 billion, a sum lawmakers characterised as too large to ignore.
The finance panel’s chairman emphasised that the directive was not merely symbolic but a firm demand for action, underlining the importance of safeguarding government revenue. He said that “every kobo owed to this country must be recovered,” adding that failure to do so would raise serious questions about FAAN’s commitment to its statutory duties.
Industry observers say that enforcing payment from foreign carriers can be complicated, particularly when airlines argue over invoicing terms or point to procedural issues in billing. Nonetheless, lawmakers made it clear that such challenges cannot justify prolonged inaction, especially when significant sums are at stake. They also hinted that airlines that fail to comply with the two‑week deadline could be asked to appear before the full House of Representatives to explain their non‑compliance.
The development marks a continuation of heightened oversight by the National Assembly into agencies responsible for revenue generation and remittance to the government. In recent months, lawmakers have intensified scrutiny of various parastatals and revenue‑earning bodies, pushing for tighter enforcement and accountability in collecting and remitting funds due to the federation.
For FAAN, the directive comes at a time when the agency is balancing revenue collection duties with broader operational challenges, including aging infrastructure, runway rehabilitation needs, and other capital requirements. With international flights forming an important part of the authority’s revenue base, the ability to recover outstanding charges from foreign carriers is crucial for sustaining operations and infrastructure development.
Stakeholders in the aviation sector have responded with mixed views. Some argue that stricter enforcement will strengthen FAAN’s financial position, enabling more investments in airport facilities and improved services. Others caution that diplomatic and operational sensitivities may complicate aggressive recovery efforts, suggesting that collaborative approaches with carriers could yield better outcomes.
As the two‑week deadline takes effect, all eyes will be on FAAN’s engagement strategies and whether the authority will meet the House Committee’s expectations in recovering the ₦18.98bn owed by foreign airlines.
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