Nigerian Airlines Borrow Over ₦60bn to Buy Jet A1 Fuel as Costs Soar

Nigerian airlines have reportedly borrowed more than ₦60 billion from local banks to buy Jet A1 fuel as operating costs remain high. The Airline Operators of Nigeria says some carriers are relying on loans just to keep domestic flights running. An AON official said fuel prices rose sharply after the Middle East crisis, climbing from about ₦900 per litre in late February to roughly ₦3,300 in April 2026. He argued that proposed measures from meetings involving the government, regulators, oil marketers and airlines have not yet provided meaningful relief. Operators say aviation fuel can consume about half of ticket revenue, while taxes, aircraft maintenance, salaries and other expenses add further pressure. They warn that without a sustainable solution, airlines may struggle to meet statutory obligations and maintain flight operations. The Federal Government announced a 30 per cent relief on airlines' debts to aviation agencies and called for negotiations on fairer fuel prices. However, operators maintain that the industry remains under severe financial strain.

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