The first set of dry-lease aircraft to Nigeria after exiting the Aviation Working Group (AWG) watchlist in October 2024 is set to arrive on October 6, 2025.
The Minister of Aviation and Aerospace Development, Festus Keyamo, made the disclosure during the foundation laying ceremony for the Air Peace Maintenance, Repair, and Overhaul (MRO) facility at Murtala Mohammed International Airport, Lagos.
The disclosure was contained in a statement issued by his spokesperson, Tunde Moshood, on Wednesday.
“The Honourable Minister of Aviation and Aerospace Development, Festus Keyamo SAN, today laid the foundation for the Air Peace Maintenance, Repair, and Overhaul (MRO) facility at the Murtala Mohammed International Airport, Lagos,” the statement read in part.
It added, “The Minister also disclosed that the first set of dry-lease aircraft under new government-backed arrangements will arrive in Nigeria by October 6, 2025, a step that will further reduce capital flight and strengthen the industry.”
The aircraft, arriving under a dry-lease model, will give local airlines greater control over operations and make them more competitive compared to wet-lease arrangements.
More insights
The dry-lease announcement coincides with the construction of the Air Peace MRO facility, which is scheduled for completion within 15 months at a cost of N32 billion.
Situated on a 32,000 sqm site, the facility will feature a 6,150 sqm hangar capable of accommodating wide-body aircraft, including the Boeing 777-ER, 2,800 sqm of storage space, 1,500 sqm of workshops, a four-storey administrative building, and a 5,000 sqm apron.
The facility will serve both Nigerian and regional airlines, providing maintenance services domestically, and is backed by partners including the Bank of Industry, Fidelity Bank, Zenith Bank, and Embraer for technical support.
What you should know
For years, Nigerian airlines struggled to access dry-lease aircraft due to the country’s blacklisting by the Aviation Working Group (AWG) over non-compliance with the Cape Town Convention. Past defaults by Nigerian carriers, who sought court injunctions to prevent aircraft repossession, further complicated matters.
- However, Nigeria’s compliance with the Cape Town Convention has significantly improved, with the country’s score rising from 49% to 75.5%, and its exit from the AWG watchlist in October 2024 opened doors for Nigerian airlines to access global aircraft leasing markets.
- The dry-lease financing model allows airlines to lease aircraft without operational restrictions imposed by wet-lease arrangements, giving them greater control over flight operations and schedules.
In January 2025, the African Export-Import Bank (Afreximbank) announced plans to support Nigerian airlines with 25 aircraft via a leasing subsidiary, using dry-lease financing to boost competitiveness.
