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NAMA Suspends Navigation Fee Increase Following Minister’s Orders

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The Nigerian Airspace Management Agency (NAMA) has suspended its previously announced 800% increase in navigational charges.

This decision comes in direct response to a directive from Festus Keyamo, the Minister of Aviation and Aerospace Development.

The suspension was disclosed in a statement signed by Abdullahi Musa, Director of Public Affairs and Consumer Protection at NAMA.

The Minister emphasized the necessity for further consultation before implementing any changes, underscoring the importance of being considerate of Nigerians’ economic struggles.

“The Minister recognized the economic difficulties currently faced by Nigerians and highlighted the need for more discussions before any fee adjustments,” Musa stated.

This decision aligns with the keynote address by Farouk Ahmed Umar, Managing Director/CEO of NAMA, delivered at the League of Airports and Aviation Correspondents Annual Conference held in Lagos on July 26, 2024.

The conference, themed “Aviation Survivability amidst a Challenging Macro-Economic Environment,” focused on the severe economic pressures on the aviation industry, including global economic volatility, fuel price hikes, and currency instability.

In his address, Farouk outlined strategies for the sector’s survival and growth, such as enhancing operational efficiency, embracing innovation and technology, strengthening infrastructure, and fostering collaboration and partnerships.

He also pointed out the financial challenges faced by NAMA, noting the agency’s reliance on statutory fees and charges to manage Nigeria’s airspace.

Originally, NAMA proposed to increase the unit rate/minimum charge for en-route navigation from 2,000 Naira to 18,000 Naira per flight, and the terminal navigation charge (TCN domestic) from 6,000 Naira to 54,000 Naira per flight, effective September 1.

These proposed increases were intended to sustain operations and ensure the safety and efficiency of the airspace, but they have now been put on hold.

NAMA has committed to continued engagement with airlines to address the prevailing economic situation, recognizing the airlines’ financial struggles while also emphasizing NAMA’s role as a cost recovery agency in line with global practices.

“The directive from the Minister and the subsequent suspension of the planned increase underscore the government’s commitment to addressing the concerns of Nigerian citizens and stakeholders in the aviation sector,” Musa concluded.

Is the CEO and Founder of Investors King Limited. He is a seasoned foreign exchange research analyst and a published author on Yahoo Finance, Business Insider, Nasdaq, Entrepreneur.com, Investorplace, and other prominent platforms. With over two decades of experience in global financial markets, Olukoya is well-recognized in the industry.

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Ethiopian Airlines Expands African Reach with a New Port Sudan Service

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Ethiopian Airlines is delighted to announce the launch of a daily flight service to Port Sudan, Sudan, commencing on October 15, 2024.

This strategic expansion further strengthens Ethiopian’s commitment to enhancing connectivity across the African continent and beyond, fostering regional socio-economic growth and facilitating trade and tourism.

The new route will provide seamless travel options for passengers traveling between Ethiopia and Sudan, as well as connecting travelers from across the vast Ethiopian Airlines network to this significant Red Sea port city.

The introduction of this service underscores Ethiopian’s dedication to serving the evolving needs of the African market and contributing to the continent’s economic development. By connecting Port Sudan to
its extensive global network, Ethiopian Airlines aims to unlock new opportunities for businesses, travelers, and communities, promoting cross-border collaboration and cultural exchange.

The inaugural flight, ET350, will depart from Addis Ababa at 11:00 and arrive in Port Sudan at 12:15. The return flight, ET 351, will leave Port Sudan at 14:15, arriving back in Addis Ababa at 17:30. Both flights will be operated by the state-of-the-art Boeing 737 Max aircraft, ensuring a comfortable and reliable journey.

“We are pleased to connect our Sudanese brothers and sisters from Port Sudan to Addis Ababa,
and to the rest of the world using our extensive global network,” says Mesfin Tasew, Group CEO of Ethiopian Airlines.

“By introducing daily flights to Port Sudan, we are bridging cultures and economies. This expansion is a testament to our unwavering dedication to serve our continent and its people, driving progress and prosperity through the skies.”

With the inclusion of Port Sudan, Ethiopian Airlines expands its network to 66 destinations within Africa. The inauguration of this new route emphasizes Ethiopian Airlines’ dedication to broadening its presence throughout Africa, while simultaneously enhancing connectivity for both business and leisure travelers.

Port Sudan, a city strategically situated along the Red Sea, acts as an essential center for commerce and economics in the region. This development offers a gateway to the diverse cultural
history and burgeoning economic prospects of Sudan.

Ethiopian Airlines invites passengers to experience the warmth and hospitality of its newest destination, Port Sudan. Book your journey today and be part of the growth story that is Ethiopian Airlines – the New Spirit of Africa.

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U.S. Remains the World’s Most Powerful Travel & Tourism Market

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The World Travel & Tourism Council (WTTC) today launched its 2024 Economic Impact Trends Report, which has revealed the U.S. as the world’s most powerful Travel & Tourism market, contributing a record-breaking $2.36 TN to the nation’s economy last year.

Despite the slow return of spending from international travellers, the U.S. keeps pole position, with almost double the economic contribution of its nearest rival.

Following a record-breaking year for Travel & Tourism, the sector continues to be the backbone to many country economies, while supporting millions of jobs globally.

The latest report from the global tourism body reveals China as the world’s second most powerful market with a GDP contribution of US$1.3 TN in 2023, underscoring its impressive rebound, despite the late reopening of its borders.

Germany secured the third spot with a US$487.6 BN economic contribution, while Japan, which in 2022 was in 5th place, jumped up to 4th position, contributing US$297 BN.

The United Kingdom completes the top five contributing US$295.2 BN.

France, the world’s most popular destination retained its sixth position with a contribution of US$264.7 BN, followed closely by Mexico at US$261.6 BN, showcasing its continued appeal as a major tourist destination.

India came in eighth, rising from a previous 10th position, with US$231.6 BN, marking a notable improvement and highlighting its growing influence in the sector. Italy and Spain complete the top 10, contributing US$231.3 BN and US$227.9 BN, respectively.

However, over the next decade, WTTC predicts China will become the biggest Travel & Tourism market with India moving up to 4th position.

These shifts illustrate the dynamic nature of the global Travel & Tourism sector, with emerging markets gaining ground and traditional powerhouses maintaining their strongholds.

The report also highlights the countries experiencing the highest annual growth rates in their Travel & Tourism contributions to GDP.

In 2023, China’s sector surged led with an astounding year on year growth of 135.8%, while other Asian countries, such as Hong Kong SAR, Malaysia, and the Philippines recovered soon after the removal of travel restrictions.

Julia Simpson, WTTC President & CEO, said: “As we look forward to a record-breaking 2024, it’s clear that Travel & Tourism is not only back on track, but also set to achieve unprecedented growth.

“We will continue to prioritise sustainability and inclusivity, ensuring that this growth benefits everyone and protects our planet for future generations. The sector’s resilience and potential for innovation continues to drive us forward.”

According to the report, many key destinations will profit from a surge in international spending this year compared to pre-pandemic levels, with Saudi Arabia, up 91.3% compared to 2019%, Türkiye (+38.2%), Kenya (+33.3%), Colombia (+29.1%) and Egypt (+22.9%) leading the way.

Globally international visitor spending is set to grow by nearly 16% to reach US$1.9 TN, while domestic tourists are projected to spend more than ever before, reaching US$5.4TN, an increase of 10.3% over 2019 levels.

Travel & Tourism investment grew 13% in 2023 to reach more than US$1TN, with a return to pre-pandemic levels anticipated by 2025.

However, high interest rates around the world could create challenges for future investment. It is therefore crucial that the public and private sectors work together to innovate to ensure the continual strengthening of this vital sector.

The report also highlights the sector’s commitment to sustainability, showcasing the decoupling of growth from greenhouse gas emissions and the increasing opportunities for women, young people, and marginalised communities.

Technological advancements, particularly in AI, are expected to further enhance the travel experience and drive future growth.

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Red Line Rail Starts Operations Ahead of Christmas

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The Lagos Red Line Rail has commenced partial passenger operations as part of a test run for the new rail project.

According to a statement released by Lagos State Governor Babajide Sanwo-Olu, the Red Line will operate four daily trips between Oyingbo and Agbado.

The service starts from Oyingbo at 8:30 am and will be making a stop at Yaba, Mushin, Oshodi, Ikeja, Agege, and Iju before arriving at Agbado by 9:37 am.

Below is the trip schedule:

AM Trip 1: Oyingbo (8:30), Yaba (8:37), Mushin (8:45), Oshodi (8:54), Ikeja (9:05), Agege (9:15), Iju (9:27), Agbado (9:37).
AM Trip 2: Agbado (10:30), Iju (10:37), Agege (10:49), Ikeja (10:59), Oshodi (11:10), Mushin (11:19), Yaba (11:27), Oyingbo (11:37).
PM Trip 1: Oyingbo (12:40), Yaba (12:47), Mushin (12:55), Oshodi (13:04), Ikeja (13:15), Agege (13:25), Iju (13:37), Agbado (13:47).
PM Trip 2: Agbado (14:50), Iju (14:57), Agege (15:09), Ikeja (15:19), Oshodi (15:30), Mushin (15:39), Yaba (15:47), Oyingbo (15:57).

This partial operation aims to assess the Red Line’s safety, reliability, and efficiency.

Once fully operational, the Red Line is projected to run 20 trips daily and transport about 500,000 passengers per day.

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