The African Export-Import Bank (Afrexim) has expressed commitment to financing aircraft acquisition for Nigerian airlines.
Afrexim Bank which provides financing solutions and advisory services for the expansion, diversification, promotion and development of intra-and extra-African trade made the commitment during the sideline meeting with the Minister of Aviation and Aerospace Development, Festus Keyamo, at the on-going Dublin Aviation Economic Conference.
Spokesman of the minister, Tunde Moshood, said in a statement that a significant milestone in Nigeria’s aviation sector was achieved during a side meeting held with the Afreximbank team at the ongoing Aviation Economic Conference in Dublin, Republic of Ireland.
He said the meeting, facilitated by Boeing’s Senior Director of Finance, Lereece Rose, brought together key stakeholders to discuss aircraft financing opportunities for Nigerian airlines.
At the meeting, Afreximbank, led by its Director and Global Head of Project and Asset-Based Finance, Helen Brume, agreed in principle to collaborate with Nigeria on aircraft financing.
Afreximbank, a 30-year-old development financing institution, has a primary mandate to promote trade across Africa.
Highlighting the bank’s extensive experience in supporting airlines such as Arik Air, Kenya Airways, and TAG over the past two decades, Brume emphasized the need for robust aviation infrastructure to enhance the competitiveness of African airlines.
To address this, Afreximbank announced plans to launch a leasing subsidiary, which will soon take delivery of 25 aircraft to be leased to African airlines.
This initiative aims to provide Nigerian airlines with access to dry-leased aircraft, enabling them to better service Bilateral Air Service Agreement (BASA) routes and domestic operations.
Lereece Rose commended the minister for his efforts in improving Nigeria’s aviation ecosystem, particularly in raising Nigeria’s Cape Town Convention score from 49.5% to 75.5%, noting that this progress underscores the country’s commitment to creating an enabling environment for aircraft financing and leasing.
“The minister highlighted the critical need for partnerships that would enhance access to aircraft financing for Nigerian operators, facilitating growth and improved service delivery.
“In response, Afreximbank affirmed its readiness to work with the Nigerian government, signaling a promising future for the country’s aviation industry,” Moshood said in the statement.
A committee has been established to follow up on the discussions, ensuring that this partnership materializes into actionable solutions for Nigerian airlines, as Afexim Bank would be operating in a familiar terrain, having successfully financed aircraft acquisition for a Nigerian airline in the past.
The meeting was attended by the minister, who led the Nigerian delegation that included distinguished members such as the Chairman, Senate Committee on Aviation, Senator Abdulfatai Buhari; Chairman, House Committee on Aviation, Hon. Abdullahi Idris Garba, Chairman, Senate Committee on Banking, Insurance, and Other Financial Institutions, Senator Abiru Adetokunbo;
Others are Director General of the NCAA, Capt. Chris Najomo; Managing Director of Fidelity Bank, Dr. Nneka Onyeali-Ikpe; COO of Air Peace, Toyin Olajide; CEO of XEJet, Emmanuel Iza; Chairman, ValueJet, Kunle Soname and his Managing Director, Capt. Majekodunmi, and Chairman/CEO of Bellagio Air, Dr. Oludare Akande, among other aviation stakeholders.
By Chinedu Eze @ThisDay
