NCAA Suspends Services to 11 Domestic Airlines Over N10 Billion Debt

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The Nigerian Civil Aviation Authority has suspended services to 11 domestic airlines, including Air Peace and Ibom Air, over outstanding regulatory debts.

The directive was contained in an internal memo dated May 22, 2026. It instructed all NCAA directorates to withhold services from affected airlines unless they obtain financial clearance from the Directorate of Finance and Accounts.

The authority said the policy must be strictly complied with across all operational departments and regional offices.

Airlines on the list include Air Peace Limited, Ibom Air Limited, Arik Air Limited, United Nigeria Airlines, Umza Air, NG Eagle, Max Air Limited, Caverton Helicopters, Overland Airways, Rano Air and ValueJet.

The memo was signed by Olufemi Odukoya, Director of Finance and Accounts. It was copied to the Director-General of Civil Aviation and regional managers.

Domestic airlines collectively owe the regulator more than N10 billion. Some estimates put total liabilities at between N19 billion and an additional $7.8 million in unremitted funds.

The debts stem from the 5% Ticket Sales Charge and Cargo Sales Charge. Airlines collect these charges from passengers on behalf of aviation regulatory agencies but are required to remit them to the government.

The NCAA relies on statutory charges and service-related payments from operators to fund safety inspections, oversight activities, personnel obligations and operational administration.

Meanwhile, a new airline called Binani Air has officially opened ticket sales ahead of its inaugural flight operations scheduled for May 10, 2026. The airline said the launch marks a significant milestone as it transitions from planning to full commercial operations.

Earlier, the Federal Government rolled out a new consumer credit initiative called “Fly Now, Pay Later” to make domestic flights more affordable for Nigerians. The Nigerian Consumer Credit Corporation announced the programme on March 17, 2026. It allows qualified individuals to book local flights immediately and spread payments over a set period through structured financing.

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