Emirates Airlines said it will suspend flights to Nigeria from next month due to its inability to repatriate funds from Africa’s most populous country.
The decision highlights the difficulties faced by global airlines flying to Nigeria, one of the largest markets in Africa.
The state restricted access to foreign currency for imports and for investors seeking to repatriate their profits due to a shortage of dollars. Nigeria gets regarding 90% of its foreign currency from oil, but has struggled with production due to years of pipeline theft and underinvestment.
The International Air Transport Association said in June that Nigeria was withholding $450 million in revenue generated by international airlines operating in the country.
Emirates Airlines said that it has not made any progress in the efforts to start a dialogue with the relevant authorities for its urgent intervention.
It added in a statement that it had therefore taken the decision to suspend all flights to and from Nigeria as of September 1, 2022, to reduce losses and operating costs that are still accumulating in the market.
Emirates Airlines had earlier sent a letter to the government saying it might cut flights to Lagos this month because it might not get $85 million stuck in the country until July, a figure that was rising by $10 million a month.
Emirates said it would reassess its decision if the situation on the frozen funds changed in the coming days, and stated that affected customers would be assisted in making alternative travel arrangements where possible.
