Airfare in Nigeria Increases by 94.78% in 12 Months Amidst Aviation Industry Challenges

The National Bureau of Statistics (NBS) has released a report titled “Transport Fare Watch (January 2023),” indicating a 94.78% increase in average domestic airfare paid by passengers in the past 12 months.

The report also reveals an increase in the cost of other transportation means such as buses, commercial motorcycles, and water transport.

According to the report, airfares increased by 0.16% on a month-on-month basis from an average of N74,586.49 in December 2022 to N74,702.70 in January 2023. On a year-on-year basis, the fare rose by 94.78% from N38,352.19 in January 2022. The report attributed the increase in airfare to various challenges facing the local aviation industry, including high operational costs, foreign exchange challenges, and inadequate infrastructure.

The report also revealed an increase in the average fare paid by commuters for bus journeys within the city per drop, which rose by 0.94% in January 2023 on a month-on-month basis. Similarly, the average fare paid by commuters for intercity bus journeys per drop rose by 0.68% in January 2023 on a month-on-month basis. On a year-on-year basis, the fare prices rose by 36.59% and 42.73%, respectively.

The average transport fare paid via commercial motorcycle also increased by 1.04% in January 2023 compared to December 2022, while the fare for water transport increased by 16.28% on a year-on-year basis.

The transport sector in Nigeria faces several challenges, including inadequate infrastructure, high operating costs, and the impact of the COVID-19 pandemic. These factors have contributed to the increase in transportation fares, making it more challenging for commuters to afford transportation.

The government and private sector stakeholders must collaborate to address these challenges, including investing in infrastructure and reducing operating costs. Additionally, measures should be put in place to cushion the effect of rising transportation fares on the masses, especially low-income earners.