NOVEMBER 21, 2023

By Josephine Ogundeji

The Nigerian real estate market is shifting as the Nigerian diaspora acquires properties from their migrating compatriots, JOSEPHINE OGUNDEJI writes

A chartered accountant, Felicia Adaobi, is one of the fortunate Nigerians who come from a family that owns a large estate in a fast-developing area of Anambra State. The property symbolised her family’s deep roots and wealth in Lagos.

The economic crisis in the country caused Adaobi, a woman in her mid-30s, to reconsider the property inherited from her parents. She thought that she could sell the property, start her own business, and send her brother overseas.

“Reflecting on my family’s journey, I always remember how my parents worked tirelessly to acquire and preserve our family property, their envisioned nest egg for a peaceful retirement. Their dedication and sacrifice became the bedrock of my dreams. As I went into real estate and finance, I saw the untapped potential within our family’s property.

“It was not just about the physical space; it held the power to fuel my aspirations, provide my younger brother with an education abroad, and fulfill the wanderlust that lingered in my parents’ unfulfilled dream of seeing the world.

“After thoughtful consideration and consultations with financial advisors, I decided to sell the family property. The proceeds, I realised, could be the cornerstone for building my own business and, most importantly, funding my brother’s education in the United States, a pathway to a brighter and more promising future for him and for the dreams that my parents held dear,” she told The PUNCH.

She stated that news swiftly circulated in the neighbourhood that her family was putting the property up for sale.  A Nigerian entrepreneur, who is based in London, Chinedu Nkem, got wind of the information, and he saw it as an opportunity to actualising his dream of investing in Anambra as a way of reconnecting with his roots.  He knew that the country’s real estate market had a lot of potential, and he had been looking for the right opportunity to invest.

“Ever since I can remember, the dream of investing in Anambra has been etched into the very fabric of my aspirations. It’s more than just a financial venture. It is a profound desire to reconnect with the roots that run deep in the soil of my ancestors. I’ve always believed in the untapped potential of Nigeria’s real estate market, and I’ve been on the lookout for that perfect opportunity to make a meaningful investment.

“For me, it is not just about returns on investment; it is about giving back to the land that has shaped my identity. Anambra isn’t just a place on the map; it is a part of who I am. The cultural richness and the vibrant spirit of the people have always been the guiding force behind my vision,” he said.

Nkem contacted Adaobi and they agreed on the terms of the sale. The sale was eventually completed, and Nkem became the new owner of the cherished property. Adaobi used the proceeds to start her business, and her brother embarked on his academic journey abroad.

Nkem was excited about the possibilities the property offered. He planned to develop a modern apartment complex, symbolising his connection to the homeland and his commitment to its future. He believed it would create jobs for the local community and offer a safe, comfortable space for residents.

As Adaobi watched the construction begin, she felt a mixture of nostalgia and excitement. She had honoured her family’s legacy while propelling her dreams and those of her younger brother.

Adaobi’s story showed how Nigerians in the diaspora profit by selling their property. Nigerians living abroad are buying into these divestments in the real estate market.

The current change in the real estate market has been linked to different factors. Traditionally, property ownership has been seen as a symbol of wealth and financial security. However, shifting economic dynamics have prompted many Nigerians to reconsider their real estate holdings. This wave of property sell-offs is driven by a desire for more liquid and diversified assets, the potential to reinvest in potentially more lucrative real estate ventures, and a means of safeguarding wealth against inflation.

The impact of this trend is evident in the soaring number of real estate transactions and property listings across Nigeria. The surge in demand for residential and commercial properties reflects the growing appeal of real estate investments. Government initiatives, such as reforms in property registration and easier access to real estate financing, have significantly contributed to this burgeoning interest.

However, what makes this trend even more dynamic is the variety of reasons behind Nigerians liquidating their properties. Some are selling their real estate to finance their aspirations abroad. Whether it is funding their own or their children’s education, relocating to seek new opportunities, or investing in businesses abroad, a growing segment of Nigerians views their property as a valuable financial resource that can support their endeavours beyond Nigeria’s borders.

This has given Nigerians living abroad are taking advantage of this sell-off to the country’s real estate market. Diasporans, with a deep emotional connection to their homeland, recognise the country’s burgeoning real estate market as a stable and long-term investment avenue. For them, investing in real estate in Nigeria is not only a prudent financial choice but a way to contribute to the nation’s growth and development.

The rise of digital platforms and real estate technology has further accelerated this transformation. More Nigerians are embracing digital tools to buy, sell, and invest in real estate, making the process more convenient, transparent, and accessible. The proliferation of online real estate marketplaces, property listing websites, and real estate-focused fintech services has democratised property investments, making it easier for a broader segment of the population to participate in the real estate market.

The co-founder, Dukiya Investments, Bayo Lawal, said the country’s economy was submerged under a lot of pressure, with inflation at a constant peak.

He said, “Almost every Nigerian now has the dream of travelling out of the country in a bid to secure greener pastures in saner and more stable climes. A 2021 report published by the African Polling Institute reveals that more than 7 out of 10 Nigerians are willing to relocate abroad with their family if they get the opportunity to do so.

“Beyond the elusive thrills and pleasures that foreign countries present, there are several factors shaping the decision of most Nigerians to relocate abroad. These factors range from political, economic, and sociocultural, with specifics like high levels of poverty, poor economic conditions, the high rate of unemployment, the quest for international academic qualification and a host of other pressing needs.”

He noted that in the wake of the escalating rise in the number of Nigerians making their exit from the country’s borders for greener pastures, many had been making distress sales of luxury assets, property, lands, cars, etc., to fund their ‘japa’ dreams.

“While these migrants have their respective reasons for selling off their belongings; financial reasons, security reasons, etc., the truth still remains that Nigerians are leaving the country in droves on the lookout for a safer and more secure future for themselves and their children, liquidating their assets then serves as a means to fulfill an end.

“Studies reveal that Nigerians in the diaspora are key contributors to the economic development of their homeland. The study shows that members of the Nigerian diaspora community do not invest in their homeland solely for financial reward. They invest for perceived emotional returns and this is positively moderated by the degree of their social embeddedness in their country of origin as well as in their country of residence. They also invest for perceived social reward.”

In the same vein, he said human beings were not satisfied until they were self-actualised, adding that it was a reality of life.

He said, “Most Nigerians who travelled out did not do so because they are fighting Nigeria and want to go into exile. They do so in search of the Golden Fleece. It is after they have discovered the Golden Fleece that they think of buying houses in Nigeria, their home. Some would never have discovered the Golden Fleece if they didn’t travel abroad.

Those selling their houses to travel abroad are doing what they are supposed to do. It is in trying to satisfy their quest for comfort. Human beings must look for opportunities until they die. It is in order to sell one’s properties to invest. This investment can be education, relocation or business establishment.”

Meanwhile, the Chief Executive Officer of Space Button Architecture, Seyi Amusan, said people usually embarked on distress sales of landed property because the real estate business was a means of raising quick funds for an emergency need.

He said, “However, the free fall of the value of naira in recent times has made those who sell houses or are into real estate business to most times sell quickly to clients within the country at a value below what it actually worth in its foreign exchange equivalent or wait a little longer in order to sell for about the double the price in naira, which is it being actual worth in foreign currency to people abroad.

“Usually, many people who sell off their properties in order to relocate abroad do so with the notion of not returning anytime soon or not returning at all. This is due to the perception that the grass is surely greener outside the borders of our nation. On the other hand, Nigerians who have lived their lives for so long abroad would think of at least getting a landed property to serve as proof of their many years of hard work to their friends and family back home, so they would then take advantage of the situation and exploit the opportunities as much as they can.”

According to the United Nations International Migration report, as of 2020, a total of 1.67 million Nigerians were international migrants around the world.

It stated, “Overall, the estimated number of international migrants has increased over the past five decades. The total estimated 281 million people living in a country other than their countries of birth in 2020 was 128 million more than in 1990 and over three times the estimated number in 1970.”

According to industry experts, the inflow from the diaspora into the country’s real estate market is a good development that would help grow the sector.

NOVEMBER 24, 2023

One Hour Return Ticket Now N300,000

BY  Chinedu Eze

As domestic airlines strive to stay in business following economic constrictions in the country, airfares have been on consistent rise to the detriment of frequent of air travellers.

On Wednesday this week the cost of a return ticket for one hour flight jumped to N300, 000 and there are indications that as December draws nearer, the cost may even increase.

THISDAY investigation revealed that currently the base fare begins at N80, 000 and rises to about N150, 000 for economy ticket.

Business class ticket base fare on Wednesday was N110, 000 but due to high demand, the cost of the tickets may rise to over N200, 000.

A protocol official at the domestic terminal, MMA2, told THISDAY on Wednesday that business class tickets hover around N250,000 “and what was surprising was that the there was high demand for the tickets, as economy class tickets have been exhausted for the period of the Yuletide.

“The price of tickets has continued to skyrocket. Today, I bought Lagos to Uyo business class ticket at N253, 000 on Ibom Air flight; Air Peace, N250, 000. The business class tickets may start from N96, 000 to N110, 000 and begin to graduate from there, as demand increases. But even with the high prices, people are still buying tickets; people are still travelling; the airports are full. I guess that the major reason why the prices are going so high is that there is no enough aircraft, so few seats are available,” he said.

The protocol official also told THISDAY that most flights were already fully booked for December.

“Economy class begins at N80, 000. It is no more N50, 000 and as we are talking the flights available are fully booked. We just hope that airlines will add more flights, but even at that, the fares will still be high and will continue to rise. As Christmas draws nearer the fares will increase. Destinations like Enugu and Owerri are fully booked already,” he further said.

THISDAY findings indicated that many domestic carriers would not bring more aircraft just for the Yuletide because most tickets are sold in October and November.

“If you lease aircraft by December you will not be able to break even because most ticket sales happen in October and November. In fact, November is when airlines record their highest sales in Nigeria, subsequently what you will be witnessing in December is that airlines leaving Lagos and Abuja to other states like Owerri, Enugu, Asaba, Port Harcourt, Uyo, Calabar travel with full loads, but you return to Lagos empty, with less than 40 per cent of your capacity,” an operator told THISDAY.

The only airline that may add more aircraft to its fleet is Air Peace. Currently it has about 38 aircraft that are airworthy, which include eight leased aircraft and there is hope that one or two aircraft on maintenance might return.

The Chief Operating Officer of Cleanserve Energy and former Managing Director of Arik Air, Chris Ndulue, also told THISDAY that the high rise of flight ticket is not caused by increase in the cost of aviation fuel because the price of the product has been stable for some time now.

He said that naturally cost of flight tickets rise towards the Christmas holidays, remarking that it is the biggest season for Nigerian carriers.

He said that the Christmas season is very critical to Nigerian airlines because it determines their survival, noting that every airline builds the season into its strategic economic and survival plans without which an airline might go under.

“Aviation fuel has been stable lately, but even if the price of aviation fuel is down, airfares will not go down in November and December; unless you want to kill the airlines. In December fares are not particularly determined by the price of aviation fuel. Airlines build the season into their survival. If you remove the season some airlines will collapse next year. So, whatever happened airfares must go up in this season,” the former Managing Director of Arik Air said.

Head of Communications, Dana Air, Kingsley Ezenwa, told THISDAY that to ensure airlines survival, airfares must have to go up, especially at this season.

He insisted that cost of aviation fuel, which is averagely sold about N950 to N1000 per litre contributes to the increase in fares, noting that airlines are facing hard times because of the exchange rate and the facts that most expenses airlines do are denominated in dollars and these include aircraft maintenance, payment of insurance premium and pilots training.

Ezenwa confirmed that poor infrastructure at the airports could cause operational delays, especially at peak hours when facilities are on top of their utility adding, “Nigerian airlines conduct C-Check on their aircraft every 18 months and most often the checks are done overseas, where they pay for everything in dollars and this have become a huge challenge.”

Ezenwa said if Nigerian carriers earn their revenue in naira and also use the same currency to pay for the aforementioned expenditure, the airlines would be in a financial better state, but the high exchange rate and the scarcity of forex exacerbate the precariousness of the airlines.

“Price of tickets is high across board. The economy is still struggling. We are facing a big challenge. You earn your revenue in Naira but every other thing you are doing you do so in dollars. All major expenditures are done in dollars, like the maintenance of your aircraft, payment of insurance and others. We are operating in a very harsh environment. So, the peak season sustains the airlines because it is the revenue, they earn at this high season that they use to sustain themselves for many months. Airlines fares are progressive; so, as people demand for tickets, the prices increase. This is where early booking comes in. If you buy your ticket early you pay less,” Ezenwa said.

NOVEMBER 24, 2023

By Faruk Shuaibu

The National Hajj Commission of Nigeria (NAHCON) says the cost of Hajj for Nigerian pilgrims might not exceed the N4.5m deposit intending pilgrims were told to pay.

In a statement on Friday, the commission said the fare may stay at that price due to measures being implemented by the its Acting Chairman, Jalal Ahmad Arabi amd his team.

The statement which was signed by its Assistant Director of Press, Fatima Sanda Usara, said “Hajj fare may not exceed the N4,500,000 (four million, five hundred thousand) currently required as minimum deposit to register for the 2024 Hajj. The amount was expected to rise after the final fare computation. However, the reverse may be the case following some measures the NAHCON Chairman and his team plan to introduce, the imminent rise in the Hajj fare may be a nightmare subdued.”

Usaea stated that the 2023 Hajj fare pegged $6,644, the 2024 hajj would cost the same as the commission did not plan to increase the fare from what was charged.

She however, noted that the anticipated increase is an inevitable outcome of the current economic situation in the country.

“Recall that the cost of the 2023 Hajj in Dollars was $6,644.1 exchanged at the rate of N456 to a Dollar. Today, the same $6,644.1 at the exchange rate of N800 would amount to N5,315.352. This is what makes the hike predictable. Fortunately, Malam Jalal Arabi brought a proposition that would insulate the Hajj fare from escalating.”

“And in consonance with the Tinubu’s administration, the proposals are being considered because they would serve as shock absorbers to the final cost of 2023 Hajj.”

She said this was part of the issues discussed by the chairman in an interview on BBC Hausa’s program ‘Gane mani Hanya’ that would be aired on tomorrow.

She stressed that with the 2024 Hajj drawing nearer, NAHCON has continued to remind intending pilgrims that the deadline for the season’s pilgrimage preparations would end earlier than usual.

“This is because the host country has scheduled to close Hajj preparatory arrangements earlier to facilitate timely commencement of visa processing. Consequently, visa issuance would end earlier than it used to be as well. Towards this end, the Hajj Commission set December 31st as deadline for remittance of N4.5 million Hajj fare deposit to allow it collate number of qualified candidates for the Hajj.”

“It is with this number that the Commission would enter negotiations that would determine the final fare for the year’s Muslim pilgrimage. Outcome of accommodation, feeding and airline negotiations would also come with announcement of deadline for full fare remittance or refund if there is any excess on the N4.5m.”

NOVEMBER 25, 2023

A total of 18,224 Nigerian health and care workers were granted visas by the United Kingdom in one year, according to new official data from the British government.

The number of Nigerians under the health and care category of the skilled work visa rose by 215 percent (18,224) to 26,715 in the year ending September 2023 from 8,491 in the year ending 2022.

Nigeria records largest percentage increase

Africa’s biggest economy recorded the largest percentage increase (215 percent) behind Zimbabwe (169 percent) and India (76 percent), according to the data.

In terms of dependents granted health and care work visas, Nigeria’s number grew by 329 percent from 10,533 to 45,203.

The rise in the number of healthcare workers migrating to the UK can be attributed to the cheap and easy entry migration requirements of the country, which is facing severe shortage of healthcare workers due to the COVID-19 pandemic, experts say.

Read also: 40,875 Nigerian students, health workers get UK visas in 1 year

The staff shortage has been front and centre for the UK’s successive governments, making the country a net importer of healthcare professionals.

In 2020, the Conservative government pledged to increase nurse numbers by 50,000 over the next five years, and offered additional cost of living support of £5,000. In that year, the country announced a health and care visa policy, which aims to make it cheaper, quicker and easier for healthcare professionals to migrate to the UK.

Africa’s most populated nation has in recent years seen a mass exodus of talent, popularly called ‘japa’ (a Yoruba word for “run quickly”), which has led to the dearth of skilled workers in the health sector.

High poverty, unemployment, poor human capital development, insecurity and poor education are some of the major reasons many Nigerians are leaving the country in search of greener pastures.

According to the National Bureau of Statistics, the country’s inflation, which measures the rate of increase of commodity prices, quickened to an 18-year high of 27.33 percent in October.

Last year, the NBS put the number of Nigerians living in multidimensional poverty at 133 million, compared to 82.9 million considered poor in 2019 by national standards.

“The ‘japa’ wave will increase because countries are restrategising and diversifying their efforts into bringing more people to fill in the employment gaps that have been caused by the Great Resignation in Europe, flexible working, COVID-19 and every other economic strain,” Jennifer Oyelade, director of Transquisite Consulting, said.

She said the countries are aware that they can get cheaper labour from Africa, especially Nigeria.

A recent survey by Phillips Consulting Limited (pcl) revealed that more than half of Nigerian highly skilled employees plan to quit their jobs and relocate abroad in the next one year and that the top reasons why they plan to move to another country are better job opportunities, insecurity challenges and higher education.

“Most of those surveyed plan to relocate to Canada, the United Kingdom, and the United States. These countries are relying on immigration to help offset the effects of an ageing workforce due to the Baby Boomer generation retiring,” it said.

Rob Taiwo, managing director at pcl, noted that the quest for a better life should not be surprising as personal well-being is integral to employees’ positive and negative emotions about their job.

“Since the pandemic, satisfaction, happiness, eudemonia and a sense of employee purpose have deteriorated, whilst anxiety has increased. In essence, our work environment fundamentally dictates our self-worth and image,” he said.

The survey also highlighted that most of the professionals who plan to migrate are millennials as they possess distinct traits, such as being tech-savvy and innovative, that differentiate them from other generations. “These qualities can potentially revolutionise and transform organisations and society as a whole.”

It said millennials currently make up the most significant portion of the workforce and that their departure from the country could significantly impact various industries.

NOVEMBER 24, 2023

BY  ADEKUNLE AGBETILOYE

  

International arrivals

• 141,000 Nigerians migrated to the United Kingdom (UK) between June 2022 and the year ending June 2023.
• the United Kingdom revealed five non-EU nationalities contributing to immigration flow into the country.
• Earlier in the year, the UK government announced changes to its immigration laws aimed at cutting its spiking net migration.

A total of 141,000 Nigerians migrated to the United Kingdom (UK) between June 2022 and the year ending June 2023, the latest figures released by the UK’s official statistical agency has revealed.

According to the data, the United Kingdom revealed five non-EU nationalities contributing to immigration flow into the country.

“In the year ending June 2023, the top five non-EU nationalities for immigration flows into the UK were: Indian (253,000), Nigerian (141,000), Chinese (89,000), Pakistani (55,000) and Ukrainian (35,000),” Office for National Statistics said.

Migration is not a novel phenomenon for Nigerians. However, in recent years there has been a massive exodus of Nigerians leaving the shores of the country in search of greener pastures overseas due to Nigeria's economic woes.

Many Nigerians are opting for the study route as a means of relocation, while others are departing to pursue new job opportunities in Western countries.

Earlier in the year, the UK government announced changes to its immigration laws aimed at cutting its spiking net migration.

The new policy, scheduled to take effect in January of the next year, includes a prohibition on family members accompanying foreign students for non-research postgraduate courses, and people using a student visa as a backdoor route to work in the UK.

While the development may likely force Nigerians to seek options of study somewhere with their families, a review of the data further revealed that Nigerians studying in the UK grew from 6,798 in 2017 to 59,053 as of December 2022.

Also, the number of dependents grew along. In 2019, there were 1,586 dependants and it increased last year to 60,923.

“The non-EU figures are based on Home Office Borders and Immigration data while EU figures are based on Registration and Population Interaction Database (RAPID) data received from the Department for Work and Pensions and HM Revenue and Customs and British nationals’ figures are based on the International Passenger Survey (IPS),” the UK’s Office for National Statistics said.

NOVEMBER 25, 2023

By Godfrey George

New Conservatives group on the Tory Right in the United Kingdom has called for ministers to close temporary visa schemes for care workers as part of an effort to slash net migration before the presidential election scheduled for next year.

The group, said to be backed by former Home Secretary, Suella Braverman, and former UK Prime Minister, Boris Johnson, noted that the country could no longer contain the number of migrants flooding the UK by the day.

The latest statistics indicate that 1.279 million more people have come to the UK than have exited in the last two years.

This, it was noted, has put a lot of pressure on accommodation and amenities in the past month, raising concerns among Britons.

In a recent interview, the UK Prime Minister, Rishi Sunak, said net migration levels are indeed “too high” after one of his senior ministers said it was “unacceptable” that there were a record number of arrivals last year.

 Net migration into the UK peaked at 745,000 in 2022, which is a record high according to revised estimates published by the Office for National Statistics on Thursday.

The data places migration levels at three times higher than before Brexit, despite a Conservative Party 2019 manifesto pledge to bring overall numbers down.

The National Health Service Trusts, on Friday, also stated that it had now become unsustainable to prop up social care with workers on visas.

The Home Office, the UK’s migration department, on Thursday, noted that 143,990 health and care worker visas were granted in the year ending September 2023.

This is more than double the 61,274 for the year to September 2022.

The top three nationalities, according to the Home Office, on these visas are Indians, Nigerians and Zimbabweans.

Nigeria has the most significant percentage increase behind Zimbabwe at 169 per cent and India, with 76 per cent.

In terms of dependents granted health and care work visas, Nigeria spiked by 329 per cent from 10,533 to 45,203.

The increase in the number of healthcare workers migrating to the UK is attributed to its cheap and easy entry migration conditions as the country faces a shortage of healthcare workers due to the COVID-19 pandemic.

As of March 2023, the number of Nigerian-trained doctors practising in the UK climbed to 11,001, according to findings by Saturday PUNCH.

This has created an unprecedented rise in non-EU immigration to the UK, mainly driven by migrants coming for work on health and care visas, according to the statistics.

Statistics also showed that health and care work visas were the most common type of work visa on which dependents came to the UK, and are driving the increase in immigration of those on work-dependant visas.

The 143,990 figure is just for main visa applicants and does not include dependants, which can grow from two per person to nine, or even ten, including extended family members.

In the temporary visa scheme, medical professionals can come to, or stay in the UK to do an eligible job with the NHS, an NHS supplier, or in adult social care, on a health and care worker visa.

Visas last for up to five years and can be extended, while partners and children can also apply to join as the main applicant’s ‘dependants’.

‘UK’s NHS understaffed’

Meanwhile, NHS Providers which represents trusts in England has said the “understaffed health and social care system relies on the contribution of highly valued staff from overseas to keep it going”, according to a report by the UK newspaper, The Standard.

They warned that this alone is not enough, saying the domestic workforce must be given a “turbo-boost” in order to create a “sustainable, diverse, and skilled workforce for the future”.

The Director of the Migration Observatory at the University of Oxford, Dr Madeleine Sumption, said the long-term solution to shortages in the care workforce is better investment in the sector and higher pay for staff, rather than a continued reliance on workers coming from abroad.

She said, “In the long run, the solution to the problems in care is not necessarily extremely high levels of care worker migration permanently, the solution is likely to involve funding the care sector so that people in the UK are willing to do the jobs.

“And I think part of the challenge the government faces is that people are coming into care and it’s really helping care employers and they’re able to provide care that they weren’t able to provide a couple of years ago and that’s having a benefit in the short run.

“But in the long run, solving the problem and actually addressing the challenge of recruitment in the care sector is really expensive, because it involves paying people enough to persuade them to do the job,” she said.

NHS Providers chief executive, Sir Julian Hartley, on his part, said, “Our understaffed health and social care system relies on the contribution of highly valued staff from overseas to keep it going. But this isn’t sustainable.

NOVEMBER 25, 2023

By Justice Okamgba

The International Air Transport Association on Thursday disclosed that as of September, $1.68bn of airlines’ funds are locked across Africa out of a global total of $2.36bn.

The Regional Vice-President for Africa and the Middle East, Kamil Alawadhi disclosed this during the African Airlines Association 55th Annual General Assembly in Uganda.

The impact of this financial entanglement is deemed devastating for connectivity and raises concerns about the sustainability of the aviation sector, he said.

Alawadhi emphasized the association’s efforts to deliver value to its members in navigating the challenging landscape.

Nigeria accounts for $783m of airlines’ blocked funds with only about 10 per cent cleared.

Despite recent efforts, the airlines said a significant portion of those funds remained inaccessible to them.

However, the CBN had started clearing the forex backlog to commercial banks to ease pressure on the foreign exchange, The PUNCH reported.

The CBN had initiated steps to clear the forex backlog to ease pressure on foreign exchange, but challenges persisted in disbursing the funds effectively.

Alawadhi noted, “Since 2018, a significant amount of blocked funds have been repatriated from Angola, Ethiopia, Ghana, Nigeria, and Zimbabwe through working with the respective governments. Currently, $1.68bn in airline funds remain blocked across the continent.

“As of September, $1.68bn of airline funds are blocked across Africa out of $2.36bn globally. The numbers are alarming and the impact of this on connectivity is devastating.”

He stressed the importance of liberating blocked airline funds by advising governments on best practices to clear backlogs.

He said the repercussions of blocked funds extend beyond the airlines, adversely affecting the economies of the countries involved.

According to Alawadhi, the negative impact includes reduced connectivity, diminished investor confidence, and damage to the country’s reputation.

Recognising aviation as a pivotal economic enabler, he urged the governments to prioritise sustainable solutions for clearing blocked funds.

As Africa’s aviation industry strives to recover from pandemic-induced losses, IATA advocates against imposing additional financial burdens.

Measures such as higher fees, levies, carbon taxes, or new taxes on air transport, trade, or tourism could exacerbate the existing challenges.

“Africa’s aviation industry is still recovering from significant losses due to the pandemic. To make up for this shortfall, governments should avoid imposing higher fees, levies, carbon taxes, or new taxes on air transport, trade, or tourism.

“These measures would only make air travel more expensive and less accessible in Africa, where the average airfare is already 30 per cent higher than the industry average and the jet fuel cost is 10-20 per cent higher than the global average,” he added.

NOVEMBER 25, 2023

China will temporarily exempt citizens of France, Germany, Italy, the Netherlands, Spain and Malaysia from needing visas to visit the world’s second-largest economy in a bid to give a boost to post-pandemic tourism.

From Dec. 1 to Nov. 30 next year, citizens of those countries entering China for business, tourism, visiting relatives and friends, or transiting for no more than 15 days, will not need a visa, a foreign ministry spokesperson said on Friday.

China has been taking steps in recent months - including restoring international flight routes - to revive its tourism sector following three years of strict COVID-19 measures that largely shut its borders to the outside world.

The government is also looking to re-establish its image around the world after clashing with many Western countries on various issues including COVID, human rights, Taiwan and trade.

A recent Pew Research Center survey in 24 countries revealed that views of China were broadly negative, with 67% of adults expressing unfavorable views.

More than half of the respondents said China interfered in the affairs of other countries and did not take into account the interests of others.

“This decision will facilitate travel to China for many German citizens to an unprecedented extent,” Germany’s ambassador to China, Patricia Flor, said on the social media platform X, formerly known as Twitter.

“We hope that the Chinese government will implement the measures announced today for all EU member states,” she said.

Visa-free travel to Germany for Chinese nationals would only be possible if all members of the European Schengen Agreement approved, she said.

The head of foreign trade at the German Chamber of Industry and Commerce (DIHK) hailed the announcement of a temporary visa exemption as “an important signal that can boost both tourism and economic exchange”.

“Above all, the regulation facilitates the maintenance of German machines, the assurance of quality ‘Made in Germany’, entrepreneurial exchange and the cultivation of interpersonal contacts,” Volker Treier said in an interview with Reuters.

French Foreign Minister Catherine Colonna, who is in Beijing, wrote on X: “An excellent new announcement on the occasion of my visit from my counterpart Wang Yi!”

This month, China expanded its visa-free transit policy to 54 countries to include citizens of Norway.

In August, China scrapped all COVID test requirements for inbound travelers. It resumed 15-day visa-free entry for citizens of Singapore and Brunei in July.

International flights in and out the country, while recovering more slowly than services on the domestic network, have been picking up.

China’s aviation authority said in October that 16,680 weekly flights were expected from November through March, with passenger flights expected to reach 71% of the total four years ago.

The European Chamber of Commerce in China also said the move would help boost business confidence. “It is a positive that the authorities are taking steps to facilitate people-to-people exchanges,” it added.

NOVEMBER 25, 2023

Eurostar trains from Amsterdam to London via Rotterdam will not take passengers for six months while a new terminal is built at Centraal station in the Dutch capital, Dutch Railways (NS) has announced.

While the terminal is being constructed there won't be enough room to process British passengers wanting to travel on the Eurostar back to London.

Processing Britons became more lengthy and difficult following Brexit, with Eurostar queues forming at St Pancras Station also as a result.

Extra passport checks due to the UK’s withdrawal from the EU have previously limited the number of passengers being processed at London St Pancras, although full trains resumed in October.

At Centraal, the project to expand the size of the international terminal will involve demolishing existing facilities used to conduct passport and security checks.

Eurostar trains will run empty on the Amsterdam-Rotterdam-London route between June next year and January 2025, with passengers from Amsterdam and Rotterdam heading to London needing to change trains in Brussels instead.

Travellers will still be able to get the Eurostar one way from London to Amsterdam during this time.

An NS statement, carried by the Independent, read: "Unfortunately, we have had to conclude that despite all efforts, there will be a period in which there will be no direct train to London from Amsterdam.

"That period is expected to be six months (approximately June 2024–January 2025).

"That is very disappointing because we have worked hard in recent years to make the Eurostar to London an attractive alternative to the plane. It is a particularly difficult puzzle to solve. If there had been a simple solution, all parties would have seized it with both hands.

"Unfortunately, after various investigations, that simple solution appears not to exist.

"We have jointly chosen to take a step back in the second half of 2024 and not run a Eurostar directly to London for a while.

"The new, large terminal will be ready from January 2025 and we will have the opportunity to allow many more travellers to travel directly from Amsterdam to London."

Chief executive of Eurostar Group Gwendoline Cazenave said initially passenger services between Amsterdam and London were to close for a year.

"We continue to work on reducing the inconvenience for passengers, local residents and the economy of Amsterdam and surrounding areas.

"It is very important that all the parties involved are responsible and supportive of each other to meet the deadlines.

"Our focus must now turn to how we can offer the best experience and journey connections for Eurostar customers in this period. As part of this work, we will still run services directly between London and Amsterdam one way as a minimum."

In June Eurostar ended its service to Disneyland Paris, instead focusing on its core routes to Paris and Brussels.

NOVEMBER 25, 2023

By Joseph Chibueze, Abuja

The price of automotive gas oil (AGO), also known as diesel, increased by 25.45 per cent in the last 12 months, worsening the cost of production and contributing substantially to the inflation rate.

Within the period, subsidy removal also pushed up the average price of premium motor spirit (PMS) by 222.92 per cent.
While petrol prices increased to N630.63 in October 2023, from the N195.29 it sold in October 2022, diesel jumped from N801.09 per liter recorded in October 2022 to N1004.98 per liter in October 2023.

The National Bureau of Statistics (NBS), in its petrol and diesel price watch for last month, reported that on a month-on-month basis, PMS price increased by 0.71 per cent, from the N626.21 it sold in September 2023.

Diesel, on the other hand, recorded an increase of 12.82 per cent, from N890.8 in the preceding month to an average of N1004.98 in October 2023.

On the state profile, Zamfara State had the highest average retail price for PMS at N659.38; Gombe and Borno states were next, with N658.33 and N657.27 respectively.

On the other side, Lagos, Oyo and Delta states had the lowest average retail prices for PMS at N590.95, N592.19 and N599.38 respectively.

For diesel, the variations in the state prices showed that the top three states with the highest average price of the product in October 2023 were all in the North Central zone. These include Plateau State (N1150.00), Nasarawa State (N1138.00) and Benue State (N1091.67).

The least three states with the lowest prices were Rivers State (N824.44), Borno State (N827.27) and Kebbi State (N845).