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Economy

Foreign Airlines Reject Naira, NANTA Demands Action Amid Stabilisation Efforts

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Foreign Airlines Reject Naira

As three foreign airlines reject naira for ticketing in Nigeria, NANTA calls it economic sabotage and urges urgent government intervention to protect sovereignty

The National Association of Nigerian Travel Agencies (NANTA) has strongly criticised the continued refusal of three foreign airlines to accept the naira for ticket sales in Nigeria.

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Also read: Nigerian airlines, ground handlers clash over increased safety threshold charges

The association described the practice as a challenge to Nigeria’s economic sovereignty and harmful to the local currency.

Speaking with The PUNCH, NANTA President, Yinka Folarin, condemned the dollar-only policy adopted by a handful of international carriers, stating it reflects “arrogance” and a deliberate move to exclude the naira from legitimate trade within its own borders.

“It is no longer a general industry problem. Only about three airlines are still selling exclusively in dollars. Their actions are clear: they are punishing the naira,” said Folarin.

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While over 30 foreign airlines now sell tickets in naira and are repatriating funds without issues, these three outliers continue to defy the norm.

Folarin stressed that recent monetary reforms have improved liquidity, increased transparency, and resolved most remittance challenges, leaving no justification for dollar-only transactions.

“There is no justifiable reason for this anymore. If others can comply, why not them? It’s simply arrogance.”

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The NANTA president also applauded the Central Bank of Nigeria (CBN) for recent FX market reforms and urged full alignment within the aviation sector to support the government’s economic recovery goals.

“We’re not asking for favours, we’re asking for fairness. The naira deserves to be respected in its own country.”

Aviation expert Group Captain John Ojikutu (retd.) echoed NANTA’s frustrations, suggesting that the problem may be rooted in unresolved issues regarding trapped airline funds.

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However, he argued that if the government has indeed cleared all outstanding payments, the continued rejection of the naira is indefensible.

“If they’ve been paid, then this is internal sabotage. Some people may be benefitting from this arrangement. It is wrong and must be corrected immediately.”

He also acknowledged that while airlines may face dollar-denominated service charges, this does not justify disregarding local laws or economic realities.

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“If a foreign airline continues to take dollars for ticket sales, it should be stopped and investigated,” he warned.

Industry insiders agree that this issue is more than just a technical or financial matter.

The refusal to transact in naira is now being framed as an attack on Nigeria’s monetary independence, especially at a time when the local currency is showing signs of recovery.

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As over 30 airlines continue to operate within national currency regulations, attention is now fixed on the three defiant airlines whose actions, stakeholders say, threaten to derail gains in currency stability, investor confidence, and economic sovereignty.

Also read: Nigeria Reinstates VAT in New Aviation Tax Policy 2026

The travel and tourism sector, still recovering from years of FX volatility and COVID-19-related shocks, is calling on the Federal Government and regulators to intervene decisively and ensure that the naira is respected within Nigeria’s borders.

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Economy

NRS Assures Taxpayers VAT Remains at 7.5% Amid Tax Reform Concerns

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NRS

NRS VAT rate remains 7.5%, the agency says, while addressing concerns over bank deductions, loans and the implementation of Nigeria’s tax reforms

The Nigeria Revenue Service (NRS) has assured taxpayers that Nigeria’s standard Value Added Tax (VAT) rate remains 7.5 per cent, while addressing concerns over the implementation of the country’s new tax reforms.

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The assurance was given by the Tax Administrator responsible for Kano, Jigawa and Katsina states, Samaila Abdullahi, during an NRS stakeholders’ engagement and tax reform sensitisation programme in Kano.

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Abdullahi said concerns raised by individuals, traders, business owners and other stakeholders about the new tax laws were understandable, particularly questions relating to bank transactions, loans, family transfers, business income and the potential impact on small businesses.

He urged taxpayers to understand the reforms through the provisions of the law rather than rely on assumptions or misinformation.

According to him, the tax laws do not automatically authorise deductions from personal bank accounts.

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He stressed that tax collection and recovery must follow the applicable legal provisions and procedures.

Abdullahi also clarified that money received as a loan should not automatically be classified as business income or profit, explaining that proper documentation is essential to establish the nature of a transaction.

“For instance, when a trader receives a loan of N500,000, the amount should not automatically be treated as N500,000 in sales or profit, provided the transaction is properly documented,” he said.

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The NRS official’s comments were aimed at addressing public concerns about how the new tax framework would affect personal finances and business transactions.

He emphasised the importance of distinguishing between taxable business receipts and other funds, such as documented loans, when determining a taxpayer’s obligations.

The clarification comes amid heightened public interest in Nigeria’s tax reforms and questions about their implications for individuals, traders and small businesses.

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Also read: Wike Celebrates Fintiri at 59, Hails Him as Loyal Friend

The NRS urged taxpayers to rely on the provisions of the law and official explanations when assessing their obligations under the new framework.

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