Nigerian govt to unveil name of new national airline in London

The Federal Government said it would unveil the name of the new national airline at Farnborough International Public Airshow expected to hold on July 18 in London.

The Minister of State for Aviation, Hadi Sirika, said the logo, colour scheme, structure and the type of airplane for the airline would also be revealed at the event.

The minister made this disclosure while receiving the Outline Business Case Certificate of Compliance for the establishment of the airline from Chidi Izuwah, the Director General, Infrastructure Concession Regulatory Commission (ICRC).

“We will also place the order for the aircraft at the event,” he said.

The minister, who also disclosed that the airline would be unveiled before the end of the year, added that the country would take delivery of the first set of five airplanes for the airliner on December 19.

“We intend to get a 30 aircraft market in five years. But we will begin with five aircraft on the day of launch,” he said.

On his part, Izuwah noted that the presentation of the Certificate of Compliance indicated an official approval to proceed with the procurement process.

Read also: Lagos projects $6bn export from Lekki Free Trade Zone by 2020

He explained that the government would bring its contribution to kickstart the airline, adding that the amount of equity the partners would hold would determine government contribution.

According to him, start up cost over the next three years is about $300 million, but pre-start-up is $8.8 million.

“The rest of the investment will be equity injection which will happen in tranches because you do not need all the monies at once.

“Though, you need that initial government financial to make it take off, but what is important is that the national carrier will be entirely private sector controlled.

“There will be zero government interference. But if that happens, it invalidates the certificate and the entire process.

“The government will have to spend the pre-start up cost like the brand name, the office and other start up,” he said.

 

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