Reported by: Ijeoma G | Edited by: Oravbiere Osayomore Promise.
President Bola Ahmed Tinubu has declared that the Central Bank of Nigeria’s (CBN) resolution of outstanding financial liabilities is creating a more predictable and stable environment for international carriers, paving the way for stronger economic and aviation ties between Nigeria and the United Kingdom, particularly with British Airways. The President made the remarks on Wednesday while receiving a delegation from British Airways, led by British High Commissioner Richard Montgomery and the airline’s Commercial Officer, Colm Lacy, at the Presidential Villa in Abuja. The high-level meeting coincided with the airline’s celebration of 90 years of continuous operations in Nigeria and came just weeks after President Tinubu’s state visit to the United Kingdom, where he was hosted by King Charles III.
Addressing the delegation, President Tinubu disclosed that one of the earliest achievements of his administration was the resolution of longstanding financial obligations owed to foreign airlines, which has become central to the government’s ongoing economic reform agenda. “You’ve seen that since I assumed office, the outstanding liabilities and other hindrances that are hindrances to our relationship are being resolved by the Central Bank of Nigeria, and we hope to strengthen all of that,” the President said. He noted that his administration has deliberately prioritised the elimination of financial bottlenecks that previously strained relationships with international carriers, particularly issues surrounding trapped funds and foreign exchange repatriation, which for years frustrated international airlines and threatened to restrict vital air links.
The issue of trapped airline funds had been a persistent source of friction between Nigeria and global aviation stakeholders. At its peak in mid-2023, the country grappled with nearly $850 million in airline revenues frozen by regulatory restrictions and foreign exchange scarcity, raising concerns about Nigeria’s reliability as an aviation market. The International Air Transport Association (IATA) had warned that flights to Nigeria could be hampered because of significant backlogs in dollar-denominated ticket sales revenue that the country was unable to remit. However, under the Tinubu administration, the CBN has executed a quiet turnaround, gradually clearing the backlog of trapped funds and implementing more transparent FX allocation policies. While Nigeria still faces challenges, the clearance of past debts has been widely interpreted as a necessary first step toward rebuilding trust.
President Tinubu said the clearance of these debts and the ongoing transformation of the aviation sector are designed to align Nigeria with global standards, boost investor confidence, and enhance trade and people-to-people exchange. “We must meet global standards and encourage people-to-people connections while promoting the essence of trade and partnership in this sector,” the President stated. He also underscored the expanding economic cooperation between both countries, noting that bilateral trade has reached a record £8.1 billion, with Nigeria remaining the United Kingdom’s largest export market in Africa. During his state visit to London in March, Nigeria secured a £746 million financing agreement to upgrade critical infrastructure at Apapa and Tin Can Island ports, which handle more than 70 percent of the nation’s trade.
Colm Lacy, British Airways’ Chief Commercial Officer, described Nigeria as one of the airline’s most strategic markets globally and commended the improving business environment in the country. “Our relationship began in 1936 and has journeyed across generations. Nigeria is not simply a destination but a long-standing, most valued market in a country with which we share strong people-to-people, business, educational and cultural ties,” Lacy said. He added that the airline’s operations have consistently supported Nigerian entrepreneurs, students, and families, helping in trade, and creating opportunities in both directions. Lacy also announced that British Airways has upgraded its fleet on the Lagos–London and Abuja–London routes with newer, modern aircraft, a significant vote of confidence in the Nigerian market.
Minister of Aviation and Aerospace Development, Festus Keyamo, who was present at the meeting, disclosed that the airline has also complied with the federal government’s directive on local content by incorporating Nigerian meals into its in-flight services on outbound international flights, an initiative designed to showcase the country’s rich culinary culture and support indigenous catering businesses. Keyamo said the upgrade of aircraft on key Nigerian routes reflects a broader recognition that the local environment is becoming more predictable for global operators.
British High Commissioner Richard Montgomery lauded the outcomes of the President’s recent state visit to the UK, noting that the engagement delivered concrete investment outcomes beyond diplomatic formalities. He said the discussions also highlighted UK-backed financing for port rehabilitation projects in Lagos, and both sides agreed to strengthen cooperation within the Commonwealth framework to drive long-term growth. “Our relationship is both historic and strategic. Every day, our services connect Nigerian entrepreneurs, students, and families to opportunities in the UK and beyond, supporting trade and investment flows in both directions,” Lacy said, echoing the High Commissioner’s sentiments.
President Tinubu, reflecting on the 90-year partnership between Nigeria and British Airways, described the milestone as a celebration-worthy achievement. “It is a very great joy to share with you this afternoon. The transformation and strengthening of our relationship over the past 90 years is a milestone worthy of celebration,” the President said. He assured the delegation that the partnership will continue to create opportunities for growth, investment, and shared prosperity. “We celebrate with you your remarkable 90 years of operation in Nigeria, and we hope that we will continue to enhance and encourage that relationship for a stronger and more rewarding partnership,” Tinubu added.
The renewed engagement between Nigeria and the United Kingdom comes amid a broader push to translate high-level agreements into tangible economic outcomes. Last week, the UK completed its first trade and investment mission to Nigeria following the state visit, bringing together 43 delegates from 30 British companies to explore partnerships across key sectors. The initiative, which aims to convert diplomatic goodwill into lasting commercial ties, signals a shared ambition to deepen trade, investment, and sectoral collaboration between the two Commonwealth nations.
For President Tinubu, the clearance of airline debt and the restoration of confidence in the aviation sector represent a critical component of his administration’s broader economic reform agenda. For British Airways, the decision to deploy newer aircraft and expand local content is a recognition that Nigeria’s aviation market is once again open for business. The 90-year partnership that began with the first flights in 1936 has weathered political turbulence, economic headwinds, and a global pandemic. Now, with CBN clearing the financial hurdles, both sides are betting that the next 90 years could be even more rewarding.
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