FAAN Records 50% Surge in Non-Aeronautical Revenue — MD
The Managing Director of the Federal Airport Authority of Nigeria (FAAN), Mrs. Olubunmi Kuku has disclosed that its revenue generated from non- aeronautical services has increased by 50 per cent.
She stated this in Abuja on Wednesday during the board retreat for Management and stakeholders of FAAN, adding that some airports in the country are under renovation to improve service delivery and passenger experience during the Yuletide.
The non-aeronautical revenues are revenues generated from sources different from aircraft operations. They include revenues from tollgates, duty-free shops, rentals, lounges, among others.
The MD said, “Under the leadership of this present administration, where we took over December 2023, we have actually increased our revenue significantly, and not just due to the FX fluctuation.
“But if you look at our non-aeronautical revenue, we’ve increased our non-aeronautical revenue by over 50%. Our aeronautical revenue, which comprises of landing, parking, our passenger service charge, which, by the way, we also contribute a percentage of our revenue to both NIMET and NSIB, we’ve actually been able to pay them their money since we took over, which that hasn’t happened in the past.
“So, we’re on track as it relates to our revenue targets, and we’re really excited about that, and hope that FAAN will continue to be a self-sustaining agency, just given the fact that we have less dependency on government,” she said
On service delivery during the Yuletide, she said, “What I can assure Nigerians is that we’re making our environment comfortable, so from a passenger experience perspective at our airports.
“I mentioned yesterday while speaking to the press that airports like Owerri, Akure, Kanu and Benin are undergoing renovation. I believe the domestic airports in Kanu should be in use by December, hoping the same for Akure as well as Calabar. In terms of the international airports, there have been quite a bit of activities that have happened.
In terms of the Abuja International Airport, Lagos, as you’re aware, is undergoing extensive renovation as well,” she said.
Earlier in his opening remarks, the Chairman of the Governing Board of FAAN, Dr. Abdullah Ganduje, called for the adoption of new innovations to strengthen the aviation sector.
According to him, “We must continuously evolve, anticipate emerging trends and adopt innovative approaches that ensure long-term resilience, efficiency, and global relevance.”
He emphasised the need for stakeholders to work together to build a modern, efficient, and innovative FAAN that is financially sustainable and globally competitive.