Keyamo: 30% fee discount for domestic airlines is about cutting costs, not collecting revenue

Nigeria's aviation minister says the government is giving domestic airlines a 30% discount on statutory fees, and he wants the continent to stop talking and start acting.

Festus Keyamo, Minister of Aviation and Aerospace Development, announced the discount at the African Air Transport Expo 2026 in Lomé, Togo. The African Civil Aviation Commission (AFCAC) organised the event.

"Aviation is an economic enabler, not a revenue collection point," Keyamo said in a statement released by his media aide, Tunde Moshood. He said President Bola Tinubu approved the discount to reduce the cost burden on airlines and passengers.

Keyamo also said Nigeria is moving towards VAT neutrality and auditing duplicate levies charged to operators. The goal is to make flying cheaper and more efficient.

But the minister didn't stop at fees. He challenged African governments to move beyond signing agreements and start implementing real reforms that guarantee unrestricted air connectivity across the continent.

"We must move from signatures to actual traffic rights," Keyamo said. He promised that over the next 24 months, Nigeria will streamline permits for African carriers, align air agreements, and lead the Banjul Accord Group (BAG) to treat West Africa as a unified domestic market.

The Banjul Accord Group is a regional aviation body that includes Nigeria, Ghana, The Gambia, Guinea, Liberia, and Sierra Leone. Its members have long talked about liberalising air transport, but progress has been slow.

Keyamo was blunt about what success looks like. "The real test of our success is no longer how many declarations we adopt, but how many African routes we open, how many restrictions we remove, and how many passengers actually benefit."

Africa's aviation market remains one of the most fragmented in the world. High taxes, fuel costs, and restrictive bilateral agreements have kept airfares high and connectivity low. Many African travellers still have to fly through Europe or the Middle East to get from one African capital to another.

Keyamo argued that seamless air transport would boost trade, tourism, investment, and regional integration across the continent. He called on governments and industry stakeholders to focus on measurable outcomes rather than communiqués and declarations.

The 30% discount applies to statutory fees paid by domestic operators to the Nigerian Civil Aviation Authority (NCAA) and other agencies. It's expected to reduce operating costs for airlines like Air Peace, Arik Air, and others struggling with high expenses.

Nigerian airlines have faced tough conditions in recent years — forex scarcity, high fuel prices, and multiple taxes. Several carriers have suspended operations or scaled back routes. The discount is meant to give them some breathing room.