Afreximbank to help Nigerian airlines access dry lease aircraft

The African Export-Import Bank (Afreximbank) has announced plans to assist Nigerian airlines in accessing dry lease aircraft.

A dry lease is an arrangement which involves hiring an aircraft without a flight crew, with the hiring entity (the lessee) taking on operational responsibilities, such as crew members and maintenance.

Helen Brume, director of project and asset-based finance at Afreximbank, spoke on Wednesday at the Airline Economics Growth Frontiers Global conference, held in Dublin, Ireland, from January 12 to 15.

The conference, hosted at the Mansion House in Dublin, brought together global aviation professionals to discuss current developments and challenges within the industry.

Speaking at the event, Brume said Afreximbank is committed to providing support for aircraft financing to Nigerian airlines.

“This initiative aims to provide Nigerian airlines with access to dry-leased aircraft, enabling them to better service Bilateral Air Service Agreement (BASA) routes and domestic operations,” the director said.

She also announced the bank’s plans to support African airlines with 25 aircraft through a leasing subsidiary to enhance competitiveness and boost aviation infrastructure on the continent.

Brume said the aircraft to be delivered soon will strengthen aviation infrastructure and boost the competitiveness of African airlines.

“Afreximbank has extensive experience in supporting Arik Air, Kenya Airways, and TAG Airline over the past two decades,” she said.

Lereece Rose, Boeing’s senior director of finance, commended Festus Keyamo, minister of aviation and aerospace development, for his efforts at advancing the country’s aviation sector.

Rose praised Keyamo’s efforts in improving Nigeria’s Cape Town Convention score, which increased from 49.5 percent to 75.5 percent.

“This progress underscores the country’s commitment to creating an enabling environment for aircraft financing and leasing,” she said.

In his remarks, Keyamo underscored the need for partnerships to improve access to aircraft financing for Nigerian operators, drive growth, and enhance service delivery.

The minister announced that a committee has already been set up to follow up on the discussions and ensure the collaborations materialise into practical solutions for Nigerian airlines.