Nigeria’s air navigation agency is facing mounting financial strain, with unsettled debts, representing liabilities owed to the agency, estimated at over ₦9 billion when legacy and current obligations are combined. Domestic airlines still in operation owe the Nigerian Airspace Management Agency (NAMA) ₦3,484,866,194.74 as at February 2026, while those no longer operating owe ₦5,558,689,645.25, bringing total NAMA’s unsettled debts to ₦9,043,555,839.99. This excludes international airlines and also does not capture debts owed by some state airports, investigations reveal.
However, beyond the headline figure, findings show that these unsettled debts are directly constraining NAMA’s revenue flow and operational capacity. Therefore, the agency’s financial crisis is no longer isolated; it is now feeding into systemic inefficiencies across infrastructure, manpower, and service delivery.
Unsettled Debts Exposes Structural Revenue Weakness
In addition, NAMA’s revenue model remains fundamentally weak. Managing Director, Engr. Farouk Ahmed Umar, disclosed that navigational charges have remained unchanged since 2008. However, inflation and rising costs have significantly eroded their real value, widening the gap between income and expenditure.
He stated, “N11,000 is no longer realistic, yet we must keep the system running and serviceable.” This gap between outdated tariffs and current realities has become a core driver of NAMA debt accumulation.
Meanwhile, investigations show that delayed payments by active airlines continue to create liquidity pressure. At the same time, legacy debts from defunct carriers remain largely unrecoverable. Therefore, NAMA is forced to operate with constrained cash flow despite growing service demand.
Debt Now Driving Operational and Training Gaps
Critically, this revenue shortfall is beginning to affect core operations. Funding limitations have reduced NAMA’s ability to invest in staff training, a key requirement under global aviation standards. Training programmes for air traffic controllers and technical personnel have narrowed in scope due to financial constraints.
Therefore, unsettled debts are no longer just a balance sheet issue; they are now impacting human capacity development. Without sustained training, the agency risks widening gaps in technical expertise required for modern airspace management.
In addition, manpower shortages are becoming more evident. Limited recruitment and constrained training budgets have left gaps in both operational and engineering units. Consequently, existing personnel are overstretched, increasing pressure on service delivery.
Rising Costs Compound Debt Crisis
Meanwhile, operational costs continue to surge. The depreciation of the naira has sharply increased the cost of importing critical equipment and spare parts. In addition, energy costs, particularly diesel for power generation, have risen by over 1,000 percent since 2008.
Engr. Farouk Ahmed Umar noted that NAMA still charges ₦50,000 for extended service hours despite the drastic increase in fuel prices. Therefore, the agency’s pricing model no longer reflects the true cost of operations.
This mismatch has forced NAMA into difficult trade-offs. Funds meant for system upgrades are redirected to basic operational survival. Consequently, the NAMA debt is now directly linked to deferred maintenance, delayed upgrades, and operational inefficiencies.
Infrastructure Strain Reflects Deepening Aviation Debt
The impact is most visible in infrastructure. Ageing surveillance and navigation systems require constant maintenance, yet funding gaps limit access to spare parts. Therefore, NAMA has resorted to improvisation, including reproducing obsolete components to sustain operations.
This stop-gap approach highlights the depth of the crisis. NAMA’s unsettled debts, combined with weak revenue inflow, is slowing modernisation efforts. Meanwhile, global standards set by the International Civil Aviation Organization (ICAO) require continuous investment in equipment and personnel.
Oversight by the Nigerian Civil Aviation Authority (NCAA) ensures compliance, but sustaining those standards under financial strain remains a growing concern. The International Air Transport Association (IATA) also emphasises cost recovery as essential for operational sustainability.
Policy Reversals Worsen Unsettled Debt Pressures
In July 2024, NAMA proposed an 800 percent increase in navigational charges to address these imbalances.
The proposed new rates for en-route and terminal navigation charges were to be reviewed from 2,000 and 6,000 Naira to 18,000 and 104,000 Naira per flight. Additionally, the extension of service hours will be reviewed from 50,000 to 450,000 Naira per extension. This change will enable the Agency to recover the cost of diesel and other logistics.
The air space navigators emphasized that ICAO Doc 9082 recommends cost recovery for service provision. This caters to the cost of equipment, personnel, training, and other ancillary costs. He explained that NAMA operates without making a profit.
Farouk had said, “NAMA has been charging as low as NGN11,000 per flight when a one-way domestic ticket cost only NGN16,000. While ticket prices today have risen to as high as NGN150,000- NGN 200,000 Naira for a one-way economy ticket owing to the prevailing economic circumstances, NAMA’s navigational charges have remained the same since June 2008.”
He also mentioned some of the airspace managers’ fees and charges compared to the present situation. “NAMA charges NGN 50,000 for every hour that it extends services beyond the stipulated hours of service at aerodromes that do not have 24 hours service. In 2008, a liter of diesel was sold at around NGN113. Today, it is well over NGN1,400 Naira per liter, which represents over 1,000% increase. This makes the current charges unsustainable.”
“Currently, our unit rate for international flights charges for service provision is about $70. Domestic flights are charged 6,000 Naira. While NAMA recognizes the difficult economic environment aviation operates in Nigeria, it is equally a part of the ecosystem. It goes to the same market to procure equipment and other services like training. If NAMA is to survive and continue to guarantee safety and efficiency in the airspace.”
However, the decision was suspended within 24 hours on the directive of Minister of Aviation and Aerospace Development, Festus Keyamo, citing economic concerns.
System Sustainability Under Threat
The cumulative unsettled debts of over ₦9 billion now represents more than unpaid invoices; it reflects a structural imbalance between cost, revenue, and policy. Therefore, NAMA is increasingly forced to balance safety obligations with financial survival.
Without urgent reforms, the combined pressures of debt, rising costs, limited training, and ageing infrastructure could weaken operational resilience. Consequently, stakeholders warn that the NAMA’s unsettled debts must be addressed alongside revenue reform and funding support.
