The Nigerian Government has signed the Cape Town Convention (CTC) Practice Directions in a move to reduce the cost of airline operations in the Nigerian aviation sector.
The CTC Practice Direction was signed on Thursday by the Chief Judge of the Federal High Court, Justice John Tsoho, during a stakeholders’ meeting of the Presidential Enabling Business Environment Council (PEBEC) chaired by Vice President Kashim Shettima at the Presidential Villa, Abuja.
With the signing of the CTC Practice Direction, the Cape Town Convention becomes actively and fully operational in Nigeria, thereby reducing the cost of insurance for airlines, restoring investors’ confidence in the nation’s aviation sector and enabling domestic airline operators to dry lease aircraft, among others.
Speaking after the signing of the CTC Practice Direction, Vice President Shettima said the administration of President Bola Tinubu is a pro-business government that is ready “to take all the necessary measures – as painful as some might be – to protect, promote, project and preserve the interest of the Nigerian nation,” as well as preserve and promote the nation’s airlines industry.
Finance Minister, Wale Edun promised to meet with airline operators and other stakeholders to perfect issues pertaining to agreements reached at the meeting with the Vice President.
Speaking on behalf of Airline Operators in Nigeria, the Chief Executive Officer of Air Pace Limited, Allen Onyema expressed appreciation to President Tinubu for enhancing a positive change in the aviation sector.
He added that since assuming office, the President has introduced policies that will help improve the lives of Nigerians.
Special Adviser to the President on Presidential Enabling Business Environment Council (PEBEC) and Investment, Jumoke Oduwole noted that the signing of the document will help reduce the cost of insurance as well as reduce the cost of doing business in the aviation sector.
Some local operators had, in the past, breached the Cape Town Convention which regulates aircraft leasing across the world, leading to the Aviation Working Group, co-chaired by Airbus and Boeing, saying Nigeria would be blacklisted until it implements a law that would guide against a repeat of such breach.
(Editor: Okechukwu Eze)
