FG Begins Talks With Airlines to Release $464M in Trapped Funds

There are signs that the relevant government organizations may soon find a solution to the situation involving the $464 million in ticket sales of international airlines stranded in Nigeria.

Recall that the trapped funds accrued from ticket sales of foreign airlines. As of March 2022, the total funds were $289m, but three months later, they increased to $464m amid pressure from the airlines.

There have been a series of meetings to address the issue. However, sources close to the matter say that the repatriation of the trapped funds was not in the purview of the Ministry of Aviation but rather the Federal Ministry of Finance.

The $464 million reportedly held by the CBN is the largest amount being withheld by any African country, and in May, the amount grew to over 12 percent higher than the figure from the previous month.

According to Alhaji Lai Mohammed, the Minister of Information and Culture, relevant authorities are working towards addressing issues concerning the revenue of foreign airlines that have been trapped in Nigeria.

He stated these on Monday at the Murtala Muhammed Airport (MMA), Lagos, during the tour of the newly commis­sioned terminal at the international wing of the airport.

In his response to a question asked by newsmen on the trapped $464 million of foreign airlines, Mohammed said, “On the trapped funds, I can tell you that the relevant authorities are working hard on that issue.”

Also, Mohammed expressed optimism that the loans obtained by the Federal Government for infrastructure purposes were being judiciously used by the government but regretted that most Nigerian citizens don’t pay taxes to the government.

The Minister appealed to Nigerians to ensure prompt and adequate payment of taxes for the growth of the country.