The Federal Government of Nigeria said Nigerian Air will commence its operations in 2022.
According to Sirika, the majority shares of 49 percent of the Nigeria Air project will be owned by strategic equity partners.
The Federal Executive Council (FEC) has approved April 2022 as the official date for the commencement of the operations of much-awaited Nigeria Air.
The Minister of Aviation, Sen. Hadi Sirika, disclosed this when he along with Ministers of Transportation, and Finance, Budget and National Planning, Rotimi Amaechi and Dr. Zainab Ahmed, respectively, briefed State House correspondents on the outcome of the FEC meeting.
The meeting was presided by President Muhammadu Buhari in the Presidential Villa, Abuja, on Wednesday.
According to Sirika, the majority of shares of 49 percent of the Nigeria Air project will be owned by strategic equity partners, 46 percent by Nigerians while the Federal Government will own five percent of the shares.
The minister revealed that the council also approved N1.49 billion for the provision of Automated Civil Aviation Regulatory Equipment to be located at Nnamdi Azikiwe International Airport.
“Today in Council, Ministry of Aviation presented two memoranda. The first one is approval for the award of contract for the provision of Automated Civil Aviation Regulatory Equipment, including the software support and training, which will be located at Nnamdi Azikiwe International Airport, Abuja.
“In summary, this is the software that will allow all of the activities of civil aviation regulations to be done electronically on one platform, including payments, follow-ups on personnel licenses, medicals, economic regulation of airlines, safety regulations of airlines and all other businesses within the envelop of civil aviation, will be monitored by this single software. So, that has been approved.
“This one also is the approval of the Outline Business Case for the establishment of the National Carrier. This is the sixth time the memorandum appeared before the council and sixth times got lucky to be passed by council.
The structure of the proposed airline – Federal Government would be owing not more than five per cent. So, five per cent is the maximum equity that government would take.
“The growth in industry has been consistent, but we have seen a slight slowdown compared to the last quarter of 2021 and the contraction of the industry is driven by the poor performance of the crude oil and natural gas sectors, coal mining, quarrying, minerals as well as oil refinery.
“The Q3 GDP report indicates that the oil sector’s contribution to the GDP today stands at 7.49 percent while the non-oil sector’s contribution to the GDP stands at 2.51 percent.