$85m Blocked Funds: Emirates Suspends All Nigerian Flights

$85m Blocked Funds: Emirates Suspends All Nigerian Flights

Emirates Airlines has announced the suspension of its flights from Nigeria with effect from September 1, 2022.

The decision was due to the inability of the airline to repatriate its funds from Nigeria.

Recall that the airline had in a leaked letter to the Minister of Aviation, Senator Hadi Sirika, said it would reduce its frequencies in Nigeria from 11 to seven by mid August over its trapped $85m in Nigeria.

Daily Trust reports that other airlines may also follow suit as blocked funds belonging to foreign airlines have hit over $600m which they are unable to repatriate as the Central Bank of Nigeria (CBN) could not meet airlines’ request for dollars.

Read Also: 7 suspected bandits arrested in Kaduna

In line with the bilateral air service agreements (BASAs), foreign airlines are expected to issue their tickets in naira while the CBN provides the dollar equivalence for repatriation to their home countries.

In a statement on Thursday morning, Emirates said it would stop all its flights to Nigeria, adding it might re-evaluate its decision if there was any positive development in the coming days.

The statement read: “Emirates has tried every avenue to address our ongoing challenges in repatriating funds from Nigeria, and we have made considerable efforts to initiate dialogue with the relevant authorities for their urgent intervention to help find a viable solution.

$85m Blocked Funds: Emirates Suspends All Nigerian Flights