Following the sustained high cost of aviation fuel, Nigerian airlines have increased airfares to N200,000 and above for one-hour one-way flights.

A cost analysis across the airlines’ websites showed an upward review in ticket prices by some domestic carriers, except a few that had yet to review their airfares as of the time of filing this report. The checks on the websites showed that the operators had quietly increased airfares without any official communication.

It was, however, gathered that the increase in fares was in response to the hike in aviation fuel, which varies depending on the delivery airport location, but sells for between N1,750 and N2,650 per litre.

Recall that operators under the umbrella of the Airline Operators of Nigeria had repeatedly warned that the soaring cost of Jet A1 was becoming unsustainable, noting that while global crude prices recorded moderate increases of about 30 per cent, aviation fuel prices in Nigeria surged far beyond that margin.

The operators said they had continued to absorb the risicosts over the past four weeks to sustain flight operations nationwide, despite worsening financial strain and persistent foreign exchange challenges.

Recently, Ibom Air raised fresh alarm over the deepening crisis, revealing that it now spends about N7.6m to fuel a single flight.

Failed promises

Although the airlines had taken the matter to the Federal Government, operators stated that the current high cost of aviation fuel is not sustainable.

Meanwhile, The PUNCH gathered that promises made to the operators have yet to be fulfilled by the Federal Government, more than three weeks later.

In a related development, the Dangote Petroleum Refinery reduced the aviation fuel price, a development that received the commendation of airline operators. But the latest increase in airfares is coming barely 24 hours after the refinery reduced aviation fuel prices.

New realities

On the website of Ibom Air, our correspondent, who has been monitoring prices since the Jet A1 price began to rise, observed that a one-way trip between Lagos and Abuja cost N143,200 as of Wednesday, but it has been pegged at N200,300 from Thursday, May 21, 2026.

Also on the same website, from Thursday, Lagos-Port Harcourt flights will cost N181,300, with indications that another increase may occur in a few days.

For United Nigeria, effective Wednesday, May 20, an Abuja-Lagos flight costs N231,000, while Lagos-Abuja is pegged at N200,000 per trip. Air Peace has also pegged its fares at N192,600 for a one-way trip between Lagos and Abuja.

Meanwhile, Aero Contractors and ValueJet appeared to have retained their prices as of the time of filing this report. Aero Contractors still had ticket fares ranging between N123,127 and N146,702 for selected routes, while ValueJet fares stood between N118,571 and N132,857 for flights from Lagos to Abuja.

A source in one of the airlines that increased its prices, who declined to be named because he was not authorised to speak on the matter, said the fare increase became inevitable as operators battled rising operational costs caused by fuel prices and charges, as well as dwindling cash flow.

He said the carriers made the decision after extensive consultations and careful consideration of prevailing economic realities. “We have adjusted our minimum fares to N200,000 per flight, irrespective of the route. This is something we have done with a lot of pain and after serious consideration of many factors.

“We cannot continue to subsidise travellers with the current situation of Jet A1. Without the adjustment, there will be a serious crisis in the industry. Cash flows have run out, and debts are mounting. It is a painful decision, but we cannot continue to bury our heads in the sand.”

Airlines speak

The spokesperson for United Nigeria, Chibuike Uloka, said the reason for the review was obvious, considering the struggles operators had faced in recent times. Uloka added that airlines had been running on loans, a business model he said they could no longer sustain.

“The reason is obvious. We, along with sister airlines, have been running on loans, absorbing the losses since the price of fuel began to bite hard. We can no longer continue like this,” he said.

When contacted, the Ibom Air spokesperson Annie Essienette argued that the airline had yet to increase fares even though it had plans to do so.

She said, “Wait for me to put up an official position on the matter. Although the plan is to increase, we have yet to increase. I can still see N185,000 on our website, but you can wait until I get an official position.”

A former Rector of the Nigerian College of Aviation Technology, Zaria, Capt Samuel Caulcrick, acknowledged the operators’ difficulties in managing their businesses despite skyrocketing aviation fuel prices.

He further advised that rather than increase the baseline ticket prices, operators should instead increase the fuel surcharge to reflect current realities. He said, “It is straightforward. At one point, it was N50,000; when the naira was devalued, it went to over N100,000, and now it is N200,000.

“I understand their reason was the hike in fuel prices. But my own view is they could have left it at N150,000 and then increased the fuel surcharge percentage to reflect present realities, and that would have been more transparent instead of tampering with the baseline.”

The Monetary Policy Committee of the Central Bank of Nigeria has retained the benchmark interest rate at 26.5 per cent.

The CBN Governor, Olayemi Cardoso, announced the decision on Wednesday at the end of the committee’s 305th meeting in Abuja.

Cardoso said, “The Committee’s decision is as follows: retain the monetary policy rate at 26.5 per cent.”

The move follows the 50-basis-point cut announced in February 2026 and a hold at the MPC briefing in November 2025.

The PUNCH observed that the MPC’s decision to retain rates occurred after an increase in Nigeria’s inflation rate.

According to the most recent Consumer Price Index report released by the National Bureau of Statistics, the country’s headline inflation rose marginally to 15.69 per cent in April 2026 from 15.38 per cent in March 2026, representing a 0.31 percentage point increase.

The World Bank Group has unveiled an ambitious financial plan to mobilise about $23bn in private capital for Africa through a massive scaling up of its risk mitigation instruments over the next four years.

According to a statement issued by the Bretton Woods institution on Wednesday, the multi-billion-dollar capital drive will be powered by its newly consolidated Guarantee Platform, which aims to more than double its annual issuance of guarantees on the continent to $6.4bn by 2030. The bank projected that the developmental surge would significantly improve the lives of no fewer than 190 million Africans within the next four years.

The global lender noted that the strategic intervention comes at a critical time when Africa’s working-age population is projected to grow by 740 million over the next three decades, with up to 12 million young people entering the competitive labour force annually.

“Guarantees will play a critical role in attracting private capital into job-rich sectors including agribusiness, energy, infrastructure, healthcare, digital services, finance and trade,” the statement read in part.

The multilateral institution added that the initiative would directly support Africa’s long-term ambition to transform its economy into a global engine of growth.

To achieve this, the new funding framework will anchor key continental interventions, including AgriConnect, a programme targeting smallholder farming and global food security, and Mission 300, a joint energy project with the African Development Bank designed to connect 300 million Africans to electricity by 2030.

Breaking down the targeted impact, the World Bank stated that the guarantees could deliver access to electricity for 43 million people and provide improved financial inclusion for 50 million individuals and businesses, with a strong focus on women-owned enterprises.

“This initiative seeks to connect 300 million people in Africa to electricity by 2030, while creating more jobs,” the bank stated.

The deployment of these guarantees is also expected to connect 37 million people to broadband internet, extend digitally enabled services to 51 million people, and provide sustainable transport infrastructure for three million others.

Reacting to the deployment, the Managing Director of the Multilateral Investment Guarantee Agency, Tsutomu Yamamoto, expressed delight over the development, emphasising that the continent’s youth bulge represents an immense opportunity if matched with the right investments.

“Africa remains home to the world’s youngest and fastest-growing workforce, and guarantees will play a critical role in attracting the investment to create the jobs needed to secure their future,” Yamamoto said.

The MIGA boss further reiterated the readiness of the global institution to steer emerging economies away from systemic vulnerabilities through structured commercial de-risking mechanisms.

“We are delighted to announce these ambitious new commitments, which will ultimately help to build robust and stable economies that yield quality jobs in everything from agribusiness and healthcare to energy and infrastructure,” he concluded.

The World Bank Group Guarantee Platform was launched in 2024 as a centralised, “one-stop shop” hosting expertise from the World Bank, the International Finance Corporation, and MIGA. By consolidating these arms into a single-entry point, the platform streamlines review processes, eliminates redundant regulatory steps, and provides a predictable structure to encourage commercial lenders to fund vital projects across developing markets.