Wed, Nov

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The Direction-General of the Nigerian Civil Aviation Authority (NCAA), Captain Musa Nuhu has said the Nigerian aviation sector is likely to experience mergers among airlines due to the impact of the COVID-19 pandemic. He made this known on Saturday while assessing the impact of the pandemic on the aviation industry during a televised interview on NTA. "The COVID-19 pandemic exaggerated a bad situation; some airlines may not survive but the industry will come back better. It has always gone through crisis but has come out stronger. The Airlines Operators of Nigeria are coming together to see what they can do to help the situation and they met with me. The industry will be different altogether," Capt. Nuhu said.

"I am sure a lot of them will see changes in their model. I won’t be surprised there would be merger activities around airlines to reduce cost and survive."

The NCAA boss noted that the COVID-19 pandemic has caused financial distress for airlines, with the need for a bailout to continue operations.

He said, "The airlines carry their maintenance out of the country and it is done in foreign exchange. They need to raise enough money to service the aircraft.

"The airlines have to find a source of raising more naira. Passenger load has decreased during the pandemic. That is why they have been significant increase airfares, they are trying their best and by the time the bailout kicks in, things will be better," the NCAA DG added.