Joseph Arumemi-Ikhide, chairman of Arik Air, one of Nigeria’s surviving airline, says the policies of the Central Bank of Nigeria (CBN) do not favour local airlines.

Arumemi-Ikhide, who prides himself as the founder of West Africa’s largest airline, also said Nigerian airlines “are just offering national service”, stating that the fares are the lowest in the world.

“Government policies, or central bank policies do not favour us. For example, the CBN said that 60 percent of foreign inflows should be for manufacturers,” he said in an interview on Channels Television.

“They’ve forgotten that the engine of any economy is air travel. Nothing is provided for us, we have to scramble like every other person.

“The same thing in the tax (system); the FIRS has a different rate for company tax, and airlines are seen as services, so by the time you finish, you pay almost 40 percent.

“So, its only air travel that we pay VAT, road transportation and others don't pay VAT. So the stakes are against airline operators in Nigeria, from government.”

He said the government need to encourage airline operators with the right policies, adding that the landscape is really tough on airlines.

“We have to source our forex, and spare parts, all of us, all the commercial airlines. It’s really tough, and our fares re the lowest in the world.

“Let me say something, naira is now about 350 to the dollar, and if you look at Lagos to Abuja, it’s less than 35,000, that is less $100.

“There is nowhere you can get it. I consider that all my colleagues and I (are) doing national service.

“You don’t even get fuel; fuel prices are shooting off the roof. Before the flexible exchange rate was introduced, we were buying fuel for about N110 per litre.

“Now it’s N215 per litre and you can’t even get it. The situation in the country is not favourable to the airlines at all.”

The Arik boss said he was in support of a national carrier, emphasising that many developed nations possess national careers.

Over the past week, two Nigerian airlines – Aero Contractors and FirstNation – have suspended operations due to challenging economic realities.

https://www.thecable.ng/surviving-airlines-national-service-says-arik?_e_pi_=7%2CPAGE_ID10%2C6190170233

It is a pity to see how recalcitrant and deceitful zombies still blame the economic recession on the past govt even when it is glaring that Buhari's deplorable policies are sinking the economic into recession. The enabling environment that was created by the past govt have been abated and nullified by the irrational and unfavorable policies and decisions of this govt headed by a certificateless cow rearer.

The next we will hear is that these firms are sanctioned with draconian penalties for succumbing to retrenching workers because of the deplorable state of the economy.

buhari should come and kukuma kill us

God or whatever they believe in, would reward them........

And this is why they've not paid their staff for months like flights are free??

Arik should close shop .The airline has a poor customer service
Thank God for AirPeace

TANTUMERGO007:
buhari should come and kukuma kill us

Lolz

Lienus,you guys are still making profit,not just like before...who can do charity business in Nigeria?...the increased ticket fees is for what!!!.....the people who keep trooping to embassies and airport daily went to sell gala abi...yeye!!!...just improve your service!!!!!

Buhari d wicked fool.

If all airlines shut down, the elite will have to take a bus and travel by road. Nice development

Who send una

ORUKO LO N ROWON 'SURVIVING AIRLINE' THEY MUST TO SURVIVE NO MATTER HOW ECONOMY MAY BE

How pathetic

hit like if you think buhari is a he-goat

“We have to source our forex, and spare parts, all of us, all the commercial airlines. It’s really tough, and our fares re the lowest in the world".....If l hear lowest in the world, when in Kenya one can get a domestic flight of 50mins for $30 and a 1 hour flight for $40!

Nigeria on its way to greatness, but its so bitter if i must say!

Dats what u get if aboki dey rule una

Wahala dey o

TANTUMERGO007:
buhari should come and kukuma kill us

Lobatan

I came here to claim FTC o...






















But anyways if you are on TELEGRAM check my signature

Useless government - do they deserve this national service sef

“Let me say something, naira is now about 350 to the dollar"

N415 firstbank yesterday

Thunder fire APC...

The airlines are working for GOD .

The investors would be rewarded in heaven

blueto:
It is a pity to see how recalcitrant and deceitful zombies still blame the economic recession on the past govt even when it is glaring that Buhari's deplorable policies are sinking the economic into recession. The enabling environment that was created by the past govt have been abated and nullified by the irrational and unfavorable policies and decisions of this govt headed by a certificateless cow rearer.

The next we will hear is that these firms are sanctioned with draconian penalties for succumbing to retrenching workers because of the deplorable state of the economy.

More reason why the CBN governor should have been fired. The man is simply confused.

Raypawer:
Nigeria on its way to greatness, but its so bitter if i must say!

We will be on our way to greatness when Buhari exits