Aviation

Protect Naira, Local Jobs: NANTA Tackles Foreign Airlines Over Dollar-Only Ticket Sales

 

Protect Naira, Local Jobs: NANTA Tackles Foreign Airlines Over Dollar-Only Ticket Sales

By Akin Alade

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The National Association of Nigeria Travel Agencies (NANTA) has intensified its campaign against dollar-only ticket sales by some foreign airlines, turning the debate into a wider call for the protection of the naira, Nigerian travel businesses and thousands of jobs connected to the aviation industry.

Rather than treating the controversy merely as a disagreement between travel agents and international carriers, NANTA believes the continued exclusion of the naira by some airlines raises fundamental questions about fair competition and the place of Nigeria’s sovereign currency in transactions conducted within the country.

NANTA President, Dr Yinka Folami, argued that with improved foreign exchange liquidity and greater stability in the currency market, the conditions that previously encouraged some airlines to insist on dollar transactions have significantly changed.

NANTA Questions Continued Rejection of Naira

According to the association, only about three foreign airlines out of more than 30 operating into and out of Nigeria currently maintain dollar-only ticket sales.

That represents roughly 10 per cent of the international airlines operating in the market, strengthening NANTA’s argument that accepting naira payments remains commercially possible.

The association maintained that where business is conducted in Nigeria, passengers and travel agencies should have access to ticket inventories denominated in the country’s legal tender.

NANTA acknowledged that some bilateral or commercial agreements may permit foreign currency transactions, but argued that such arrangements should not necessarily result in the complete exclusion of the naira.

Small Travel Agencies Face Bigger Challenge

Beyond the currency debate, the controversy has major implications for Nigerian travel agencies, particularly smaller operators.

NANTA said it has approximately 4,000 members, including 1,621 International Air Transport Association-certified agencies.

Of those IATA-certified operators, 1,274 are reportedly Go-Lite members whose Billing Settlement Plan wallets do not support dollar transactions.

This means that when an airline makes its tickets available exclusively in dollars, a significant number of Nigerian agencies could effectively be prevented from selling those tickets.

For an industry supporting entrepreneurs, employees and other businesses across the aviation value chain, continued restrictions could therefore affect more than ticket sales alone.

NANTA Tackles Foreign Airlines’ City Sales

NANTA has also renewed its opposition to foreign airlines operating direct sales outlets in Nigerian cities.

The association cited provisions of the Nigeria Civil Aviation Regulations 2023 which it says prohibit foreign airlines operating scheduled international services from maintaining such city sales offices.

NANTA consequently commended the Nigeria Civil Aviation Authority (NCAA) for stepping up enforcement, noting that some affected airlines have started dismantling their city sales structures following regulatory intervention.

The association believes stronger enforcement could create a more competitive environment for licensed Nigerian travel agencies.

Air France-KLM, Etihad Get NANTA Commendation

While criticising practices it considers harmful to the local industry, NANTA praised foreign carriers that are strengthening partnerships with Nigerian businesses.

The association commended Air France-KLM for appointing a Nigerian company as its General Sales Agent.

It similarly welcomed the decision by Etihad Airways, ahead of its expected return to the Nigerian market, to work with a Nigerian GSA.

Such partnerships, NANTA believes, demonstrate that international airlines can operate successfully in Nigeria while creating opportunities for indigenous businesses.

Protecting Nigeria’s Aviation Economy

The latest intervention brings a larger economic issue into focus: foreign investment and international aviation connectivity should not come at the expense of indigenous businesses.

Foreign airlines remain critical partners in connecting Nigeria with the rest of the world, but Nigerian travel agencies also provide employment, generate economic activity and serve millions of passengers.

Creating a level playing field therefore requires regulations that protect competition without discouraging international carriers from operating in the country.

For NANTA, the message is increasingly clear: foreign airlines are welcome to do business in Nigeria, but Nigerian businesses and the naira should not be pushed aside in their own market.

As the NCAA strengthens enforcement and the foreign exchange environment improves, pressure may increase on the remaining airlines operating dollar-only sales to reconsider their policies and expand naira payment options for Nigerian travellers and travel agencies.

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