The saga surrounding Nigeria’s proposed national carrier, Nigeria Air, took another turn as Ethiopian Airlines, which was slated to be a major partner in the venture, has announced that the Nigerian government is no longer interested in pursuing the collaboration.

This news comes just two months after the Nigerian government indefinitely suspended the project. The initial suspension was met with criticism, particularly regarding the ownership structure. The deal would have seen Ethiopian Airlines hold a significant stake (49%), raising concerns about foreign dominance in the Nigerian aviation sector.

Mesfin Tasew, Group Chief Executive Officer of Ethiopian Airlines, confirmed the government’s withdrawal in Dubai, according to the Ethiopian Tribune, stating, “The Nigerian government has lost interest in partnering with a foreign airline.” This announcement suggests that the concerns surrounding ownership may have ultimately scuttled the project.

The collapse of the Nigeria Air partnership is a setback for the Nigerian government’s ambitions to establish a national carrier. The project, unveiled in late 2022, was seen as a potential boost to the country’s aviation industry and a driver of economic growth. However, the concerns surrounding ownership and the lack of transparency surrounding the deal plagued the project from the outset.

In 2023, the Ministry of Aviation, under former Minister Hadi Sirika, unveiled Nigeria Air three days before the end of former President Muhammadu Buhari’s administration.

The development had elicited concerns among stakeholders nationwide over the ownership arrangement which gave Ethiopian Airlines a 49 per cent equity stake.

The Federal Government had a 5 per cent equity, while a consortium of three Nigerian investors had 46 per cent.

Reacting to the deal in June 2023, the House of Representatives asked the Federal Government to suspend the operations of Nigeria Air, describing it as a fraud.

Several questions now remain unanswered. The Nigerian government has not yet issue an official statement regarding its withdrawal from the project. It is unclear whether they intend to pursue a national carrier with a different partnership structure or if the project is entirely scrapped.