The Federal Airports Authority of Nigeria (FAAN) has announced a ban on cash transactions across all its operations and revealed plans to increase tariffs at airports nationwide.
The Director of Commercial and Business Development, Adebola Agunbiade, disclosed the new measures on Monday during an event held in Lagos. She said the move is aimed at modernising FAAN’s operations and restructuring its revenue model to align with global best practices.
Currently, 92% of FAAN’s revenue comes from aeronautical sources, with just 8% from non-aeronautical activities — a sharp contrast to international standards, where non-aeronautical income makes up over 40% of total earnings in many developed countries.
“We have to find the means to review our tariff in such a way that it’s not too much on you but it’s also helping us to pay our bills,” Agunbiade said.
She assured service providers that they would be given adequate notice before any tariff adjustments take effect. “We are reviewing our tariff, and we will ensure that we notify you early enough so that you, as businesses, can plan towards it,” she added.
FAAN Managing Director and CEO, Olubunmi Kuku, also confirmed the agency’s push toward automation and digital payments.
“Automation makes it easier for you to track your payment. We’re going cashless and contactless in payments,” Kuku said, noting the volume of manual enquiries from service providers on payments and renewals.
The changes are part of FAAN’s broader strategy to enhance efficiency, transparency, and financial sustainability within Nigeria’s aviation sector.
