Multiple Taxes, Levies, Greed Grounding Airlines, Says AMCON
The Managing Director/Chief Executive Officer, Asset Management Corporation of Nigeria, Mr Ahmed Kuru, has said numerous charges and taxes by regulatory agencies are some of the factors causing airlines failure in Nigeria.
He also blamed banks for rushing into the business of funding aviation without the requisite knowledge of the industry.
Kuru, who noted that aviation was Nigeria’s most difficult sector to manage, said there was a need for a complete overhaul of the industry’s mode of operation.
He gave the position at an aviation leadership CEO’s roundtable conference to commemorate the 10th anniversary of Aviators Africa (magazine) in Lagos.
He said, “The failure of many airlines in Nigeria and why those that are still operational are struggling is attributable to a litany of peculiar Nigerian problems including greed exhibited by airline owners; financial rascality, overbearing charges and taxation by regulatory agencies.
“Others are unpredictable and unstable forex; non-existent good corporate governance principles; lack of due diligence procedure and other associated risks as well as over-invoicing, among other challenges.”