Ethiopian Airlines Remains Optimistic on Nigerian Joint Venture Despite Government Review

Ethiopian Airlines continues to express confidence in its planned joint venture with Nigeria, anticipating a 49% stake in the startup Nigeria Air. Despite concerns within the Nigerian government leading to a pause in the process, Ethiopian Airlines’ Chief Commercial Officer, Lemma Yadecha Gudeta, stated that the joint venture is “almost a done deal.”

In an interview with Aviation Daily, Gudeta acknowledged that a change in the Nigerian government has prompted a review of the original agreements, causing a temporary setback. The new authorities are scrutinizing the arrangements, leading to a delay in finalizing the joint venture. However, Gudeta highlighted that Ethiopian Airlines is prepared and eager to proceed, having already conducted proving flights in Nigeria’s airspace and allocating specific aircraft for Nigeria Air.

“We are waiting for them to tell us when to start the airline, but we are very confident that’s going to happen very soon,” said Gudeta. Despite the delay, Ethiopian Airlines remains committed to the joint venture and is optimistic about its realization.

Reports from Armada News suggest ongoing discussions between Ethiopian Airlines and the Nigerian government. Concerns raised by the Nigerian aviation minister, Festus Keyamo, include issues such as a proposed five-year tax waiver for Ethiopian, potential monopoly creation, and control over personnel appointments by Ethiopian. The final decision lies with the Nigerian president, who is expected to consider these concerns before granting approval for the joint venture.

While the process in Nigeria undergoes review, Ethiopian Airlines has also signed a new air services agreement with France, potentially leading to an increase in flights between the two countries. The agreement allows Ethiopian Airlines to expand its services to six non-Paris metro airports and introduce thrice-weekly dedicated cargo roundtrips on the Ethiopia-France route. The airline currently operates daily flights between Addis Ababa and Paris CDG, along with thrice-weekly flights to Marseilles.