Nigeria Settles 98% of $850 Million Debt to International Airlines

Nigeria has settled 98% of its $850 million backlog owed to international airline operators, leaving $19 million pending verification by its Central Bank. The International Air Transport Association (IATA) announced this development in a statement where it commended the authorities for their efforts and urged them to see to the payment of the residual $19 million. Due to an acute dollar shortage, Nigeria had been unable to allow foreign airlines to repatriate their earnings, peaking at $850 million owed in June 2023. In January 2024, airlines threatened strikes and some of them scaled back operations due to only $61 million being settled. The CBN’s payment of the money owed to airlines is part of a broader effort to clear FX backlogs of over $7 billion in a bid to stabilize the country’s exchange rate.

SOURCE: TECH CABAL