Director General of the Nigeria Civil Aviation Authority, Captain Chris Najomo, has linked Nigeria’s fleet expansion to a new Financing Structure driven by banks and insurance reforms. He said this shift, combined with faster Air Operator Certificate approvals, is unlocking capacity across the sector. Therefore, airlines are now positioned to scale faster than in previous cycles.
Meanwhile, the Financing Structure is anchored on stronger bank participation in aviation. Captain Najomo singled out Fidelity Bank for its sustained backing of Air Peace, describing the lender as a pioneer in airline support. He noted that other financial institutions are now aligning with this model, signalling a broader industry shift.
“It’s a major thing that has just happened between Fidelity… Fidelity has been there. It has played the role of the biggest airline, Air Peace.”
In addition, he confirmed that Zenith Bank and other lenders are entering the aviation space. He stressed that the expanding Financing Structure is becoming the foundation for fleet growth and sustainability across Nigerian airlines.
“Other airlines have joined. I have even been told Zenith and all the other banks… You can see that this is the way forward.”
Financing Structure Drives Aircraft Influx
Captain Najomo projected a near-term surge in aircraft induction, driven by improved access to capital and policy support. He explained that the evolving Financing Structure is already enabling operators to acquire newer and more efficient aircraft.
“In the next five, six months, you will see more aircraft come in. Better aircraft, modern aircraft will come in.”
However, he emphasised that the shift is not limited to commercial airlines alone. Aircraft from manufacturers such as Embraer, Boeing, and Bombardier are entering both airline and private jet operations. Therefore, the fleet mix is becoming more diverse and modern.
Meanwhile, regulatory reforms are reinforcing the Financing Structure through faster certification processes. Captain Najomo disclosed that the NCAA has issued between seven and eight AOCs within a significantly reduced timeframe.
“I can tell you about between seven and eight AOCs I have issued.”
He contrasted this with previous timelines, where approvals could take up to three years. However, the current system now delivers results within six to nine months without compromising safety standards.
“AOC usually takes… two to three years. But within six to nine months, I do ease of doing business, without compromising safety.”
In addition, he revealed that new applications are already underway, signalling sustained interest from prospective operators. This momentum further strengthens the industry’s Financing Structure.
“As I’m sitting here, another person has said they want to start the AOC.”
Insurance is emerging as a critical pillar supporting the Financing Structure. Captain Najomo said collaboration between local and foreign insurers is improving risk coverage and reducing costs for operators.
“The aircraft insurance will definitely come down… Nigerian insurance [companies] are here to back it up.”
Therefore, lower insurance premiums are expected to ease operational expenses. He linked this directly to passenger outcomes, noting that increased capacity will drive ticket price reductions across the market.
“Prices of tickets will come down… because we are beginning to have capacity.”
In addition, Captain Najomo highlighted a visible increase in fleet size among Nigerian airlines. He noted that carriers previously operating two or three aircraft are now expanding to six or more, driven by the improved Financing Structure.
“We had no capacity before… airlines with two or three aircraft are now having six, seven, eight.”
However, he maintained that Air Peace remains the dominant player, operating over 20 aircraft. Meanwhile, rising competition could gradually close the gap as more airlines scale operations.
“Air Peace is the biggest airliner here, with over 20, 25 aircraft.”
Beyond fleet growth, Captain Najomo pointed to route expansion as the next phase of development. He said Nigerian airlines are preparing to explore underserved regional markets, particularly along the West African corridor.
“Nigerian airlines are now going to go to the West Coast. A lot is happening.”
Therefore, the evolving Financing Structure is not only increasing aircraft numbers but also enabling broader network expansion.
The convergence of bank funding, insurance reform, and faster regulatory approvals marks a turning point for Nigeria’s aviation sector. The emerging Financing Structure is unlocking fleet growth, lowering costs, and improving market access. Meanwhile, with up to eight new AOCs issued and more underway, the industry appears set for sustained expansion over the next year.
