Travel agents have raised the alarm that foreign airlines are continuing to sell flight tickets to outbound passengers in U.S. dollars.
LEADERSHIP reports that the administration of ex-President Muhammadu Buhari had in 2022 kicked against foreign airlines selling tickets in Nigeria in foreign currencies.
Former Aviation Minister Hadi Sirika had said selling tickets in foreign currencies was a violation of the nation’s local laws.
“I want to use this opportunity to say that reports are reaching us that some of the airlines are refusing to sell tickets in naira. That is a violation of our local laws; they will not be allowed. The high and the mighty amongst them will be sanctioned if they’re caught doing that.
“The NCAA has been directed to swing into action and once we find any airline violating this, we will deal with them,” Sirika had said.
However, three years after the warning, foreign airlines are still selling flight tickets in foreign currencies in Nigeria.
According to travel agents, foreign airlines such as KLM, Air France, Lufthansa, among others, are involved,
describing it as an affront to Nigeria’s sovereignty.
They argued that, presently, no airline fund is trapped in Nigeria and foreign airlines can conveniently repatriate their money from the country, thereby they have no need to sell in foreign currency.
They stated further that since the naira is stabilising, rates are closing up and there is liquidity in the forex market, there shouldn’t be any need for selling in foreign currencies.
Speaking to LEADERSHIP on this development, the president, National Association of Nigeria Travel Agencies (NANTA), Yinka Folami, said selling in foreign currency was the most disrespectful thing an airline could do to any sovereign country like Nigeria that had a good market.
According to Folami, the act disrespects the Naira and shuts out 70 per cent of licensed travel agents from business.
“The long-held rationale for USD sales-only is no longer valid, as there is market liquidity, remittance issues are resolved, FX is stabilising, and the Central Bank of Nigeria has brought greater transparency to the system.”
He continued, “At least accommodate the Naira. While we congratulate the CBN’s reforms and assist the government in its progress.”
Folami concluded with a reaffirmation of what NANTA has been doing and would continue to do.
“NANTA is engaging in constructive and respectful engagements with the government, facilitating training and capacity development programmes with accredited certification and ensuring transparency and best practices within the Nigerian Travel Trade. Africa is the future, and Nigeria will drive it,” Folami declared.
However, the director of Public Affairs and Consumer Protection, Nigerian Civil Aviation Authority (NCAA), Michael Achimugu, said his directorate would investigate the matter and revert to our correspondent.
“I will need to investigate this so that I don’t give a half-baked response,” Achimugu said.
Also speaking, the managing director of New Realms Travels and Tours, Olaleye Ajibade, decried the act of foreign airlines selling tickets in foreign currencies in Nigeria.
Ajibade, former South West Public Relations Officer, NANTA, argued that tickets are bought in the airlines’ home countries in their local currencies.
However, he called for urgent government action against what he described as disrespect for national currency and the country’s image.
“For instance, KLM, Air France, and Lufthansa and, sometimes, on the British Airways portal in Nigeria, if you want to book a ticket, the privilege of paying through your Naira card is not allowed, as you have to pay in dollars.
“If you check the BA portal, you will not be able to use your Naira card, as you have to use a foreign currency card, and the most unfortunate thing is that we can’t do this in their country. No one can transact with Naira in any other country, so it should also be like that in Nigeria. Our currency should be the best option for transactions, so buying a ticket in dollars or another currency doesn’t sound too good.
“This shouldn’t be a NANTA issue alone, but for the federal government because, as a group, NANTA will advocate while the government will take action. It is only the federal government that can make it work. The government should create a policy for the sector.”
Ajibade, however, confirmed that a policy bans purchasing foreign tickets in foreign currency in Nigeria and called for strong political will to enforce it.
“We have a lot of regulatory policies but are those regulations working? We only have policies, but the policies are not being implemented; that is why foreign airlines will give conditions that are not realistic in Nigeria,” he said.
An email sent to Lufthansa Airline for comment remained unanswered at the time of filing this report.
Also, efforts to obtain a response from Air France-KLM were also unfruitful, as inquiries made through their website were automatically generated and no direct communication was established.
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