Nigeria’s Minister of Aviation and Aerospace Development, Festus Keyamo, has unveiled the Nigeria Aircraft Leasing Company as part of efforts to tackle aircraft acquisition and financing challenges facing indigenous airlines.

The initiative was introduced during a stakeholders’ meeting in Abuja attended by airline operators, regulators and potential investors within the aviation sector.

According to Keyamo, the project aligns with the Federal Government’s broader plan to strengthen local carriers through policies designed to improve sustainability, operational capacity and long-term growth.

The minister explained that the successful resolution of Nigeria’s compliance concerns with the Cape Town Convention created the right conditions for the establishment of the leasing company.

He disclosed that the Nigeria Aircraft Leasing Company would operate as a Special Purpose Vehicle aimed at making aircraft leasing more accessible and affordable for domestic airlines rather than competing directly with operators.

Keyamo added that the initiative would largely be driven by private sector investment, with only limited government guarantees to support its operations.

The minister stressed that easier access to leased aircraft would help Nigerian airlines expand their fleets, improve service delivery and reduce the heavy financial burden associated with outright aircraft purchases.

Reacting to the development, George Uriesi praised the Federal Government’s ongoing aviation reforms and described the aircraft leasing initiative as a long-awaited intervention for the industry.

The Ibom Air boss noted that the project could significantly improve operational efficiency and fleet expansion opportunities for Nigerian carriers struggling with limited access to financing.

Industry stakeholders believe the move could mark a major step towards strengthening Nigeria’s aviation sector by supporting indigenous airlines with more flexible aircraft acquisition options.