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Akinwande Soji-Ojo
The International Air Transport Association (IATA) has disclosed airlines’ funds blocked from repatriation in Nigeria is now $812.2 million.
In a statement on Sunday, IATA revealed that funds blocked from repatriation globally have increased to $2.27 billion in April 2023, and increase of 47 percent from $1.55 billion in April 2022.
It warned that rapidly rising levels of blocked funds are a threat to airline connectivity in the affected markets.
The association said five countries — Nigeria, Bangladesh, Algeria, Pakistan, Lebanon — account for 68.0 per cent of the total blocked funds worldwide.
Aside the $812.2 million unrepatriated funds in Nigeria, $214.1 million is trapped in Bangladesh.
According to IATA, the authorities of Algeria, Pakistan, and Lebanon are blocking the repatriation of $196.3 million, $188.2 million, and $141.2 million, respectively.
IATA’s Director-General, Willie Walsh, called on governments to find lasting solutions to the situation to ensure aviation companies sustain connectivity.
“Airlines cannot continue to offer services in markets where they are unable to repatriate the revenues arising from their commercial activities in those markets. Governments need to work with industry to resolve this situation so airlines can continue to provide the connectivity that is vital to driving economic activity and job creation,” Walsh said.
He also urged governments to abide by international agreements and treaty obligations to enable airlines to repatriate the funds arising from the sale of tickets, cargo space and other activities.