Nigeria And Portugal Commence Air Services Soon

…Medview and OmniBlu billed for Nigeria slot

The Federal Government of Nigeria has announced its readiness to implement the Bi-Lateral Air Services Agreement with the Republic of Portugal.  According to a statement from the office of Nigeria's Minister of State for Aviation, Sen. Hadi Sirika, “Nigeria and the Republic of Portugal are set to commence the implementation of a Bi-lateral Air Services Agreement (BASA) as part of government efforts towards establishing and asserting the nation’s as an undisputed leader in air transportation on the African continent”.

This disclosure was made by the Minister of State for Aviation, Senator Hadi Sirika at a meeting with the Secretary of State for Foreign Affairs and Cooperation of Portugal, Mrs Theresa Ribeiro, accompanied by the Head of Mission of Portugal in Nigeria, Anthonio Pedro Rodrigues da Silva, and the Director, Sub-Saharan Africa of the Portuguese Ministry of Foreign Affairs, Miguel Cruz Silvestre in his office.

According to the Minister, “the new BASA will open a new page in the hitherto cordial diplomatic relationship between Nigeria and Portugal, while also deepening business relationships between the people of the two nations”.

Medview and OmniBlu airlines are the carriers billed to operate Nigeria slot at the eventual sealing of the  agreement. “The Ministry had designated two of its carriers, Medview and OmniBlu airlines to service the Abuja-Lisbon and Lagos-Lisbon routes, ahead of the formalization of the agreement during the International Civil Aviation Organization (ICAO) Air Services Negotiation Conference billed for Nassau, Bahamas in December”-Sirika confirmed. 

The minister charged the Portuguese authorities to also designate their own carriers immediately to ensure a seamless implementation of the Agreement.

The Portuguese Secretary of State for Foreign Affairs and Cooperation in turn told the Minister that, “the Nigerian airspace was not completely new to Portuguese airlines, as some of them had been closely collaborating with Nigerian carriers especially during pilgrimage operations and said the airlines to service the routes would be named in due course”.

According to the envoy, “Nigeria remained the giant of Africa, no matter the current challenges and that Portugal was delighted to enter into the Bilateral Air Services Agreement with Nigeria and expressed the hope that it would go a long way in cementing the long and cordial relationship between the two nations, while also opening new vistas of cooperation”.

The agreement to commence direct air services between Nigeria and Portugal is expected to be finalized during the forth-coming ICAO Air Services Negotiation Conference holding in Nassau, the Bahamas in December.

Power Restores At Lagos Airport After a Minor Hitch-FAAN

The Federal Airports Authority of Nigeria announced power restoration at the Murtala Muhammed International Airport Lagos after a “Minor Hitch”. According to Henrietta Yakubu, the Acting General Manager, Corporate Affairs of the agency, “The Management of Federal Airports Authority of Nigeria wishes to inform the airport users that power has been restored shortly after the spark that happened at the Finger Main Distribution Board at the E-Finger of the Murtala Muhammed International Airport, Lagos”.

Giving explanation on how the incident occurred, Yakubu said, “A spark occurred at the E-Finger of the Murtala Muhammed International Airport in Ikeja, Lagos, at about 11.30am on October 27, 2016 Nigerian time”.

“However, the engineers successfully corrected all defaults and normalcy was restored at affected areas”.

Assuring airport users of safety and security at our airports, FAAN apologised to passengers, airlines and the general public for the inconvenience caused by this interruption.

“Challenges In Aviation Momentary” -Aviation Minister Assures

The Federal Government has assured the players in the aviation sector, especially the foreign carriers that the current challenges are temporary. The Minister of State (Aviation), Sen Hadi Sirika gave this assurance during the visit of  the Regional manager for Emirates Airlines, Manoj Gopi Nair in his office yesterday.

This is according to a statement by James Odaudu, Deputy Director, Press & Public Affairs which reads: “An appeal has gone to foreign airlines operating in Nigeria who are in the process of downgrading or suspending their operations in the country to reconsider their plans and decisions, as the challenges currently besetting the industry and other sectors would soon become things of the past”.

 

Sirika

According to the Minister, government was not unaware of the issues that have created operational difficulties for both domestic and foreign airlines, such as Foreign Exchange, Aviation fuel and infrastructural deficiencies saying that government has been up and doing to ensure the creation of an environment that is both enabling and profitable for them to operate. 

He recalled the recent concession given to airlines by the Central Bank of Nigeria (CBN) to enable the airlines procure the required Foreign Exchange to clear the backlog of matured Foreign Exchange obligations. He described the CBN intervention as a direct fall-out of efforts of the Ministry to minimize the identified challenges. He also promised to immediately take up the Emirates complaints about Foreign Exchange with the relevant authorities.

Speaking on the issue of aviation fuel which had earlier threatened to cripple the industry in the recent past, Sirika said the situation had almost normalized as a result of government intervention that has made it easier for importers to bring in the product.

On infrastructural deficiencies, especially the runway at the Nnamdi Azikiwe International Airport, Abuja, the Minister said while the government was already handling the issue, the long-term solution remained in the concession of the major airports for which government had already commenced the process. That, he said, would address the problems of infrastructure at the airports.

He therefore appealed to the Management of Emirates and other airlines to reconsider their decisions to either suspend their operations or scale them down, considering the adverse effects on their long-standing costumers and the benefits they had reaped in the past.

The Regional Manager, West Africa, of Emirates, Manoj Gopi Nair had earlier told the Minster that he was in his office to brief him on the decision of the Emirates Management to scale down its operations in Nigeria, with the suspension of operations from the Nnamdi Azikiwe International Airport, Abuja.  

Nair said the decision was based on the airline’s inability to make ends meet in view of the difficulties in accessing Foreign Exchange for its operations. He also listed the high cost of aviation fuel and the state of the Abuja Airport runway as other impeding factors.

He however promised to transmit the Aviation Minister’s appeal and official commitment to address the issues to the Emirates Management for a possible reconsideration of the decision.

SAHCOL Seals Ethiopian Airline Cargo Operations’ Deal

Skyway Aviation Handling Company Limited (SAHCOL) has announced the handling of Ethiopian Airlines’ cargo operations henceforth. In a statement by the company through the General Manager, Corporate Communications, Basil Agboarumi, “In aligning with the expertise, professionalism, efficiency and business integrity of the Skyway Aviation Handling Company Limited (SAHCOL), Ethiopian Airlines has moved its Cargo Operations to SAHCOL”.

Explaining the new deal, Agboarumi said, “The relocation which became effective from Tuesday, 18th October, 2016 will see that all import shipments on Ethiopian Airline flights to and from Lagos, Abuja and Kano are to be warehoused in the SAHCOL warehouses before clearance, while all export cargo on the Ethiopian Airline flights from all its destinations in Nigeria, are now to originate from the SAHCOL warehouses in the various locations”.

Agboarumi said the movement by Ethiopian Airline (the "Rising Star Carrier", as well as one of the very best in Global Air Cargo Industry) to SAHCOL, once again further buttress the fact that SAHCOL knows what its customer want most, and what SAHCOL does best is to provide excellent service in line with International best practices.

SAHCOL is an ISAGO (IATA) and RA3 (European Union) certified Ground Handling Company has recently made massive investments in state-of-the-art aviation ground handling equipment, construction of an ultra-modern cargo import and export warehouses, manpower trainings and excellent customer services.

 “Therefore, with this new endorsement of the SAHCOL brand again, by one of the African's best airline, just after the recent relocation by Airfrance-KLM, SAHCOL is further determined to continually deliver excellent and speedy Aviation Ground Handling services to the delight and satisfaction of its customers, and the Aviation industry in general”-said Agboarumi

Accolades On Dunoma Over ACI-Africa Presidency

Aviation stakeholders have continued to pour encomiums on the Managing Director of the Federal Airports Authority of Nigeria (FAAN), Engr Saleh Dunoma for being elected the President of Airport Council International, African region (ACI-Africa) last week.

Dunoma was elected last week during ACI-Africa conference in Maputo, Mozambique.

Reacting to his election, industry consultant and CEO of Belujane Konsult, Chris Aligbe said that Dunoma’s election signifies the high rating and confidence ACI-Africa has on the FAAN boss and their acknowledgment of the pivotal role Nigeria is playing in the air transport industry in Africa.

“The election of Dunoma signifies that Africa still have hope in Nigeria. It is not because we have some of the highly rated airports in Africa, but Africa still believes that Nigeria is in a position to make a difference, so the election is an incentive to Nigeria to contribute more to the development of aviation in Africa,” Aligbe said.

The aviation consultant also observed that it is due to the strategic position of Nigeria that Nigerians are heading very important organisations in Africa and beyond, noting that Dr Bernard Olumuyiwa Aliu is the President of the International Civil Aviation Organisation (ICAO) Council; a Nigerian is the Secretary General of Africa Civil Aviation Commission (AFCAC), Iyabo Sosina, the President of Afrexim Bank, Dr Benedict Okey Okoroma and now the election of Dunoma as the President of AFI-Africa.

“Africa has high expectation of Nigeria and the continent wants us to be in the lead and we should ensure that we don’t disappoint them. The continent has inspired us so we can no longer stay behind,” Aligbe said.

A former General Manager in FAAN, Yakubu Dati, in his reaction after the emergence of Dunoma said, “By this election, Dunoma has made history as the first Nigerian to preside over the body made up of 62 members, operating 250 airports in 47 countries throughout the African continent.”

Also the former Managing Director of FAAN, Richard Aisuebeogun, said that besides the well-horned experience of Dunoma and his personal contribution to Nigeria’s aviation sector, that his election was also enhanced by the fact that Nigeria is a major player in the Council.

“When many countries in Africa are showcasing one international airport each Nigeria is showcasing four and now it has become five because Enugu has been added where Ethiopia Airlines, the best airline in Africa operates. Nigeria should be recognised for the role she plays in Africa. Nigeria has not delayed in paying its annual levies to the organisation and in terms of human resources and in terms of capacity Nigeria has produced more airport professionals than any other country in the continent.

“In 2010 under my watch Nigeria hosted ACI-Africa conference in Abuja despite security fears and since then Nigeria has been highly rated and it has become imperative that the country should play that leading role in airport development in the continent,” Aisuebeogun said.

Dati described Dunoma as a consummate team player and dedicated professional who has over three decades of hands-on experience in the aviation sector, which obviously would come to bear in his presidency.

Air Peace In Partnership Talk With Rangers FC

Chairman/Chief Executive Officer of Air Peace, Chief Allen Onyema flanked by former Super Eagles Coach and Technical Director of Enugu Rangers International Football Club, Mr. Christian Chukwu (3rd right), Air Peace Director of Finance Administration, Mrs. Ejiro Eghagha, Rangers General Manager, Ozor Paul Chibuzor (left) and Marketing Manager, Mr. Ignatius Okafor (right) during the visit.

One of the foremost domestic airline operators in Nigeria, Air Peace has entered discussion on how to partner with the champion of fooball league in Nigeria, Enugu Rangers Football Club. This is according to Chris Iwarah, the airline’s Corporate Communications Manager. 

Iwarah said the, “Former Super Eagles Coach and Technical Director of Enugu Rangers International Football Club, Mr. Christian Chukwu led the team’s management on a visit to Air Peace corporate headquarters in Lagos”.

Commenting on the mission of the visit, Iwarah said, “Members of the delegation, who were received by the Chairman of Air Peace, Chief Allen Onyema, were on mission to explore sponsorship and partnership opportunities between the airline and Rangers”.

Enugu Rangers recently returned as champions of the Nigeria Professional Football League 32 years after Chukwu led the club to lift the title in 1984.

With 9 aircraft in its fleet, Air Peace currently fly Lagos, Abuja, Owerri, Port Harcourt, Enugu, Calabar, Asaba, Kebbi and Benin City with expansion plan in the offing.

Airbus Group To Open Office In Nigeria

… Interested in the Country’s Aviation plan

Min. of State (Aviation) Sen. Hadi Sirika in the middle, Ambassador of France in Nigeria, Denys Gauer on his right with Airbus Team in a visit to the minister's office in Abuja yesterday

One of the world’s leading player in aircraft manufacturing and leasing, Airbus has shown interest in Nigeria with the intention of opening its operational office in the country. This was made known when Ambassador of France in Nigeria, Denys Gauer with Airbus team visited Nigeria’s Minister of State (Aviation) Sen. Hadi Sirika in his office Abuja yesterday. 

According to a statement  by James Odaudu Deputy Director, Press & Public Affairs in the office of the minister, “Leading the delegation on a visit to the Minister of State for Aviation, Senator Hadi Sirika in his office, the Ambassador of France in Nigeria, Denys Gauer said they were in the Ministry to acquaint themselves and identify with the new government vision and plans for the Aviation sector, as presented by the Minister to various industry stakeholders both in the country and at the international level”.

Gauer informed the Minister of the intention of one of the largest aircraft manufacturers and leasers in the world, the Airbus Group to open an operational office in Nigeria as a mark of confidence in the governments agenda for the aviation industry in Nigeria.

Briefing the Aviation Minister, the Vice President of the Airbus Group for Africa, Vincent Larnicol said that, “Airbus company had expanded upon on its strong European roots to move forward on an international scale with fully-owned subsidiaries in the United States, China, Japan, India and in the Middle East with spare parts centres in Hamburg, Frankfurt, Washington, Beijing, Dubai and Singapore as well as engineering and training centres in Toulouse, Miami, Wichita, Hamburg, Bangalore and Beijing; and more than 150 field service offices around the world”.

According to him, Airbus, in its desire to get closer to its customers, is also actively developing engineering, manufacturing and service capabilities in Europe, China, India, Russia, the Middle East, Singapore and the United States. This, he said also informed the decision to establish its presence in Nigeria with the opening of an operational office.

The Airbus Executive also informed Sirika of the Group’s interest in the plans of government to concession major airports across the country, as well as the establishment of a national carrier, while also commending government’s plan to establish an aircraft leasing company in view of the inherent difficulties in acquiring new aircrafts.

The Airbus Group also promised to collaborate, through its Cooperation Programme, with the Nigerian government in the establishment of an Aviation University to which the International Civil Aviation Organization (ICAO) is largely committed.

In response, Senator Hadi Sirika informed the Ambassador and the Airbus delegation that the vision of the government for the sector include, amongst others; the establishment of a private sector-driven national carrier, concession of the nation’s major airports to make them more viable and up to global standards, repositioning domestic airlines to make them competitive and profitable, establishment of Maintenance, Repair and Overhaul (MRO) facilities and development of human capital for the anticipated expansion of the sector.

According to the Minister, the plan of the Buhari government was to gradually reposition the Nigerian Aviation industry in such a way that would turn the nation into a regional hub for air transportation, given the ICAO forecast of a quadruple growth for the nation’s air travel in the next ten years.

He expressed Nigeria’s preparedness to collaborate with all genuine partners, insisting, however, that government decisions and actions would always be guided by the protection of national interests.  

ACI-Africa members elect FAAN MD as President

By Ariyo Akinfenwa

Engr. Saleh Dunoma MD FAAN

The Managing Director of the Federal Airports Authority of Nigeria (FAAN), Engr Saleh Dunoma has been elected President, Africa region of the Airports Council International (ACI). This is according to Yakubu Dati, the Media Consultant to FAAN on ACI-Africa. “The election took place during the  on-going 25th ACI-Africa annual assembly, regional conference and exhibition from 17 - 23 October holding in Maputo, Mozambique.

By this election, Engr Saleh Dunoma has made history as the first Nigerian to preside over the body made up of 62 members, operating 250 airports in 47 countries throughout the African continent.

ACI is a non-for-profit organization with five geographical regions - Africa, Asia-Pacific, Europe, Latin American-Caribbean and North America.”

Describing the personality of the new President of ACI-Africa, Dati said, “A consummate team player and dedicated professional, Eng Saleh Dunoma has over three decades of hands-on experience in the aviation sector, which will come to bear in his presidency.”

The new President of ACI-Africa is a recipient of the highly coveted National Productivity Order of Merit (NPOM) Award by President Mohammadu Buhari, based on the recommendation of the National Productivity Centre of Nigeria.

A graduate of the Ahmadu Bello University Zaria, Dunoma started his aviation career in the Civil Engineering Department of the Federal Airports Authority of Nigeria (FAAN) in 1980 and rose through the ranks to the zenith as its Managing Director.

Aboderin, Rafindadi Appointed Directors In FAAN

The Federal Government has appointed two new Directors for the Federal Airports Authority of Nigeria (FAAN).

The newly appointed directors are Mrs. Nike Aboderin, who was appointed Director of Finance& Accounts (DFA), and Mr. Sadiku Abdulkadir Rafindadi, appointed as Director of Commercial & Business Development (DCBD). This is according to FAAN’s  Acting spokesperson, Henrietta Yakubu.

Yakubu said, “Mrs. Nike Aboderin is a Fellow of the Chartered Institute of Bankers of Nigeria (FCIB). She holds an M.Sc degree in Banking and Finance of the University of Lagos.

Her over 23years experience in the financial services industry exposed her to both public and private exploits at different institutions including multinationals”.

“Nike Aboderin is an Advanced Management Programme (AMP) graduate of Lagos Business School.

She also holds a post graduate certificate in Global Strategic Management (GSM) of the Harvard Business School, Boston, USA. She is married and blessed with children”.

While Mr. Sadiku Abdulkadir Rafindadi is a 1985 graduate of Economics of the University of Pittsburgh. He also holds an MBA in Finance of Clark Atlanta University, USA. He attended Kaduna Polytechnic, where he obtained Certificates in Management Studies.

Mr. Rafindadi is a seasoned amiable Manager who started his career as a young officer and rose to the pinnacle through diligence and commitment.

Mr. Rafindadi until his current appointment, has worked in several Management capacities in different institutions, including, Phoenix Investment Services and British Petroleum.

At the early stage of his career, he had a stint at the Ministry of Finance, Kaduna state.

He is married and blessed with children.

“The Management and staff of the Federal Airports Authority of Nigeria (FAAN) welcomes the new directors and looks forward to a good working relationship that will add value to the system”.

Alitalia Migrates To Sabre GDS

The Italian carrier Alitalia has migrated its Global Distribution System ( GDS) to Sabre Travel Network from its own booking system ARCO. In a letter to its partners across the globe, Sabre said, “We would like to inform you that from 8:00 pm CET on October 14th until October 15, Alitalia will implement an important upgrade of its airline reservation systems”.

In the migration that took place during the weekend, Sabre informed its partners that, “During this period, flights will operate as normal and your clients’ itineraries will not be affected. However GDS functionalities, and online and call center services will not be available”.

Sabre is a leading technology provider to the global travel and tourism industry. Sabre’s software, data, mobile and distribution solutions are used by hundreds of airlines and thousands of hotel properties to manage critical operations, including passenger and guest reservations, revenue management, flight, network and crew management. Sabre also operates a leading global travel marketplace, which processes more than $100 billion of estimated travel spend annually by connecting travel buyers and suppliers. Headquartered in Southlake, Texas, USA, Sabre operates offices in approximately 60 countries around the world.

Air Maroc cancels flight on Lagos route tomorrow

… “It Is Due To Cabin Crew Strike”- Regional Manager

The Royal Air Maroc will cancel its flight to Lagos from the operational Base Casablanca tomorrow. Explaining this is the Regional Manager, Nigeria, Harichi Jamal when he said, “This is to inform our Customers that the flight AT 554 on 19th October 2016 is cancelled due to the Strike of the Royal Air Maroc Cabin Crew”.

The Royal Air Maroc is making frantic efforts to normalize operations across the globe. Giving his words on the hope that the situation is under control and that he hopes that it will be short-lived, Jamal said, “We are currently working on the deferrals flights of all Customers effective 20th October, depending on the evolution of the situation”.

Jamal apologises to its esteem customers and partners for the discomfort and inconveniences. “Please accept my apologies and I thank you for your constant support and partnership”-said Jamal.

Sirika Secures Special FX for Airlines-NCAA

…“Problems Associated With Repatriation Forgone”-DG NCAA

The Nigerian Civil Aviation Authority (NCAA) has recognised the efforts of the Minister of State (Aviation) Hon. Hadi Sirika in securing a special Foreign Exchange allocation for airlines operating from and in Nigeria, through the Central Bank of Nigeria. 

According to a statement on behalf of NCAA by Sam Adurogboye, the General Manager on Public Relations, “The Honourable Minister of State for Aviation, Honourable Hadi Sirika, has finally secured a special sectorial allocation of forex for Airline Operators in the Secondary Market Intervention Sales (SMIS) for Airline operators”.

"This is to further engender market confidence, ensure access to forex by the airlines and sustain the integrity of the Nigerian Inter-bank forex market.

The Central Bank of Nigeria (CBN) has resolved pursuant to the Minister’s show of concern to intervene in the inter-bank forex market through forward settlement”.

For clarity, the Special Secondary Market Intervention Sales (SMIS) – Retail is an important one-off exercise dedicated to the clearance of the backlog of matured forex obligation for airlines.

Adurogboye also said that , “It is however worthy to note that other sectors were similarly availed priority in the inter-bank forex market. These are Raw Materials and machineries for manufacturing companies and Agricultural chemicals.

It will be recalled that the Director General, Nigerian Civil Aviation Authority (NCAA) had earlier led a delegation of Airline Operators of Nigeria (AON) to hold meetings with the Ministers of State for Aviation, Finance and their Petroleum counterparts including the CBN Governor”.

“As a result of the meeting, Honourable Sirika was able to extricate for the foreign airlines 50 per cent clearance of their forex obligations. This present success is another step ahead in seamless operations in the aviation industry.

It is expected that this is a major window for those airlines who had earlier ceased their operations to recommence in earnest”.

Citing the succor attached to the FX intervention for the airlines, Adurogboye said, “with this intervention comes a landmark incentive for both local and foreign operators to carry out safe, secure and lucrative operations in Nigeria.

In addition, all scheduled and mandatory checks which are done in the diasporas will be undertaken with this leverage at a reduced cost”.

 “The Director General of the Regulatory Authority, NCAA, therefore expects the foreign operators to carry out their operations with renewed vigour."

Adurogboye relays  DG's words on trapped funds. "According to him (DG), all problems associated with repatriation is now a foregone conclusion. He advised all Airline Operators to take full advantage of this laudable gesture of the Federal Government of Nigeria and adhere strictly to the provisions of the Bilateral Air Services (BASA) with Nigeria”.

Dana Air Wins 2016 Best Customer Service Airline Award

L-R: Dana Air's Communications Manager, Kingsley Ezenwa, Ezine Nweke, Business Development Manager - Nigerian Customer Service Awards, and Aliyu llias, Coordinator , Nigerian Customer Service Awards, during the presentation of the award for the Best Customer Service Airline to Dana Air recently in Lagos.

 One of Nigeria’s major domestic airline operators, Dana Air has been conferred with the “2016 Best Customer Service Airline Award” for its role in the treatment of passengers patronizing its services. According to the airline’s  Communications Manager, Kingsley Ezenwa, “ For its consistent efforts at improving customer experience, onboard hospitality, and innovative online products, Dana Air has bagged the Best Customer Service Airline Award, for the 3rd time since 2014”.

 Ezenwa further explained that, "With the recent award, the airline has reaffirmed its position; as a leading customer friendly airline in Nigeria, and has also shown commitment to its vision, which is to be recognized and respected and Nigeria’s most reliable and customer – friendly airline".

 The Nigeria Customer Service Awards is the prestigious annual awards that celebrate service excellence in Nigeria, by recognizing companies that deliver effective and exceptional customer services. It also aims to raise the standard of customer service and encourage companies to go beyond paying lips service to customer service.

 Commenting on the award, the Accountable Manager of Dana Air, Mr Obi Mbanuzuo, said ‘our teeming guests recognize and appreciate our exceptional customer – oriented services,  both on ground and in-flight;  and we are committed to providing excellent passenger-experience, whenever we have the slightest opportunity.’’

 ‘Winning the award for the 3rd time consecutively is a testament to the fact that our customer recovery methodology is second to none, and we treat feedbacks from our customers  with utmost attention. We thank our guests for keeping faith with us by nominating us yearly.’’

Only recently, Dana Air was rated the airline with the best on-time Performance by an online brand rating and customer recommendation outfit- Myratee. The airline is one of Nigeria’s leading airlines with over 27 daily flights from Lagos to Abuja, Port Harcourt,  Uyo and Owerri.

Sirika Succeeds As CBN Includes Airlines In FX Settlement

Minister of State (Aviation) Sen. Hadi Sirika

After much intervention by the Federal Government through the Minister of State (Aviation) Sen. Hadi Sirika on behalf of foreign airlines and domestic operators, the Central Bank of Nigeria has included airlines operating from Nigeria in the Inter-Bank Foreign Exchange market through forward settlement.

According to Sirika, “This is after much intervention on behalf of the airlines both foreign and domestic. The Central Bank has yielded and we are happy because this means a lot to us and the airlines. They have been going through a lot and we are so happy that this will be a huge succour to their operations”.

In a circular from CBN to concerned sectors, “In order to further engender market confidence, ensure access to FX by end users and sustain the integrity of the Nigerian Inter-bank FX market, the Central Bank of Nigeria (CBN) has resolved to intervene in the Inter-bank FX market through forward settlement”.

The exercise is to clear backlog of the sectors concerned. CBN stated that, “This is an important one-off exercise dedicated to the clearance of the backlog of matured FX obligations for: Raw materials and machineries for manufacturing companies; Agricultural chemicals; and Airlines”.

It is noteworthy to recollect that the Minister made frantic efforts by facilitating series of meetings between airlines and the management of the Central Bank to ameliorate the current challenges faced by the operators.

“Type of Intervention is called Special Secondary Market Intervention Sales (SMIS) –Retail”.

Informing about “Bid Agents” while stating the peculiarity of the exercise CBN said, “Due to the peculiarity of this exercise the CBN will not apply the relevant provisions under clause 2.4.3 (i) of its Revised Guidelines for the Operation of the Nigerian Inter-bank Foreign Exchange Market (hereinafter referred to as the Guidelines) which provides that “all SMIS bids shall be submitted to the CBN through the FXPDs”.  Consequently, CBN shall receive bids from all the Authorised Dealers.

Allotted Amount per bidder, “The CBN will also not apply the relevant provisions under clause 2.4.3 (i) of the Guidelines which provide that “Spot FX sold to any particular end-user shall not exceed 1% of the overall available funds on offer at each SMIS session”.

Bid Period, “Authorised Dealers shall submit their customers’ bids to the advised e-mail address by 2:00pm. Any bid received after this time will be automatically disqualified”.

As regards Funding,  the circular stated that, “Authorised Dealers should debit the customers’ accounts for the

Naira equivalent of their bid”.

Spread, “ Clause 2.4.2 (iii) of the Guidelines which provides that “there shall be no predetermined spread on Spot FX transactions executed through CBN intervention with the FXPDs” and the relevant area of Clause 2.4.3 (i) of the  Guidelines which provides that “there shall be no predetermined spread on the sale of FX Forwards by Authorised Dealers to end-users” shall not apply for this Special SMIS-Retail. Consequently, Authorised Dealers are allowed to earn 50kobo on the customers’ bids.

On Settlement Terms of the Special SMIS – Retail, “ Whereas the bids are on Spot FX basis as the Authorised Dealers’ accounts with the CBN will be debited in full for the Naira equivalent of the USD bid amount, the CBN will settle the bids through forward settlements of 2 months. Customers that are not willing to

accept the settlement terms are advised not to participate in this Special SMIS - Retail.

It should be noted that DMBs participating in the Special SMIS must be willing to open new LCs equivalent to the amount of forwards intervention received for the importation of raw materials, plant and machineries by manufacturers”.

“Forward Rate: Bids will be settled spot through a multiple-price book building process and will cut-off at a marginal rate (to be disclosed after the conclusion of the Special SMIS – Retail process). Bids will be settled at the marginal rate that clears the amount on offer. Customers should note that the forward rate may be higher than the initial rate(s) of their bids and will be debited the additional Naira equivalent of their bids. Customers not willing to accept the terms of the forward rate should not participate in this Special SMIS.

Transmission of bids: All bids should be submitted through the dedicated email address: smis@cbn.gov.ng.”

“CBN’s Rights: CBN reserves the right not to make a sale if it is of the impression that the exercise did not provide an effective price for the determination of the USD/Naira exchange rate, in which case, the CBN may choose to offer another Special SMIS (retail or wholesale) session.”

AFRAA Supports ICAO’s Agreement on International Aviation Emissions

The African Airlines Association (AFRAA) has thrown its weight behind the International Civil Aviation Organisation on the historic agreement reached at the just concluded 39^th Assembly by member states on emission. According to AFRAA, “The Secretary General of the African Airlines Associations, Dr. Elijah Chingosho, welcomed the landmark agreement to control carbon dioxide (CO2) emissions from international aviation that was reached at the 39th Assembly of the International Civil Aviation Organization (ICAO) in Montreal, Canada”.

“We applaud this deal that was struck after tense negotiations during the last few years. The 191 states and the various stakeholders including AFRAA, AFCAC and IATA worked very hard through the ICAO system and managed to find the necessary compromises to establish the first sectorial deal to reduce CO2 at global level. African airlines, the aviation industry, other stakeholders as well as African institutions have been consistently advocating a global solution under ICAO’s leadership for several years”- Chingosho stated.

Commenting further Chingosho said: “This is the world’s first climate deal aimed at reducing global greenhouse gas emissions from international air travel. The deal was overwhelmingly approved on 06 October with 191 countries agreeing to a global market-based measure (GMBM) to control CO2 emissions from aviation.

The Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA) would complement a range of mitigation measures the air transport industry was already looking at to cut CO2 emissions which includes improved aircraft technology, efficient infrastructure, operational measures at airports and expanded use of sustainable alternative fuels”.

“The historic agreement is significant because the Paris Agreement, which was reached at last year’s COP21 summit, did not cover aviation and shipping. This is the first worldwide scheme to address emissions in any single sector. The agreement ensures that the aviation industry can meet its economic and social contributions in an environmentally sustainable manner”.

The GMBM will start from 2021 on with a pilot phase until 2023. In the following year, there will be a voluntary first phase until 2026. From 2027 on, the measure will be mandatory for all States, with some exemptions, such as for least developed countries, small island developing states, landlocked developing countries and states with very low levels of international aviation activity which virtually covers almost all African states which advocated differentiated treatment.

“It is heartening to note that those countries that contribute the most to global air transport, including the United States, China, the European Union, Australia and Japan have signed and joining up voluntarily to implement this system”.

Demuren Becomes AfBAA’s Chairman Of The International Committee

Segun Demuren, MD EAN Aviation

The Managing Director and Chief Executive Office of the first fully integrated FBO and Aircraft Maintenance Facility in Nigeria, Segun Demuren is now the African Business Aviation Association’s Chairman of the International Committee.    

According to AfBAA, “The African Business Aviation Association (AfBAA) has confirmed Mr. Segun Demuren, CEO of Nigeria-based EAN, as the association’s Chairman of the International Committee”.

Recognising his contribution to Africa’s business aviation and the association, AfBAA said that, “Segun and EAN has supported AfBAA since its inception by being one of the association's Founding Members and a Director at AfBAA’s Board of Directors. Since AfBAA’s launch Segun has been very active and a strong vocal representative for the organisation. He is frequently present at the AfBAA symposia and at AfBAA Pavilions at EBACE.”

Defining the new responsibility, AFBAA said, “Segun will support AfBAA’s Founding Chairman Tarek Ragheb and AfBAA’s Executive Director Rady Fahmy in building strong bridges with Africa’s Ministries of Transportation and Civil Aviation Authorities, international organizations such as AFCAC and other stakeholders that will be informed about the benefits of business aviation to the economy and profile raising of Africa’s position on the international aviation landscape.

“We are delighted that Segun is taking up this prestigious and extremely important role for AfBAA. He understands the Association, our mission and vision, as well as having first-hand knowledge of the challenges affecting the growth of business aviation on the continent,” said Ragheb.

Pictures:The Day Global Aviation Community Stand For Nigeria

The day Nigeria Celebrated 56th Independence is also the day the country got the support of the whole world in securing a seat in the ICAO Council through historic voting from 152 countries. Global aviation players celebrated with Nigeria in a low-key manner in solidarity to  the challenge the country is going through. The Minister of State (Aviation) Sen. Hadi Sirika thanked aviation community for their support even when the country is going through economic challenge at the just concluded 39th Assembly of ICAO in Montreal Canada.