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Captain Ado Sanusi Predicts Reduction in Airfares for Nigeria in Q1 2024

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In an interview with Channels Television, Captain Ado Sanusi, the chief executive officer of Aero Contractors Company of Nigeria Limited and former CEO of Nigerian Airspace Management Agency, NAMA, projected a potential decrease in airfares in Nigeria during the first quarter of 2024.

Sanusi attributed the current spike in airfares to the escalating production costs within the aviation sector.

He emphasized that a significant reduction in airfares can only be achieved through a substantial decrease in production costs.

According to Sanusi, “The only way ticket fares can come is if the cost of production is reduced drastically. There are fixed and variable costs. You adjust the variable cost but can do little to the fixed cost. The cost of JetA1, personal costs, repairers, maintenance, and foreign exchange can be adjusted. Airline Operators have taken advantage of the high travel demand this festive period to increase their fares. They will reduce their fare because people cannot pay much money to travel.”

Furthermore, he predicted a potential reduction in airfare prices in January, February, and March 2024, as airlines typically face challenges during these months. Sanusi also noted that a stable forex rate throughout the year could contribute to decreased ticket prices.

Recent data revealed that the cost of a one-way ticket in Nigeria has surged from N35,000 in 2021 to over N100,000 in December 2023. Currently, airfares from Lagos to Abuja have exceeded N100,000, while flights to cities like Owerri, Enugu, Anambra, Port Harcourt, Calabar, Uyo, Asaba, and Benin are priced as high as N160,000 and N200,000 for an economy one-hour flight.

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