Ethiopian Airlines CEO Withdraws from Nigeria Air Project, Citing Political Interference

• Ethiopian Airlines withdraws from the Nigeria Air project, citing politicization and local airline opposition, despite hopes for a profitable national carrier
• The Nigerian government suspended the Nigeria Air initiative after a court ruling invalidated its partnership with Ethiopian Airlines, raising concerns over transparency and management

Ethiopian Airlines, Africa’s largest airline, has withdrawn from the Nigeria Air project, stating that the establishment of the national carrier was heavily politicized. Mesfin Tasew, the Group Chief Executive Officer (GCEO) of Ethiopian Airlines, revealed this in his first comments following the nullification of the airline’s selection as an equity partner for Nigeria Air.

Tasew explained that Ethiopian Airlines intended to collaborate with the Nigerian government to establish a profitable airline. However, local Nigerian airlines opposed the move, leading to its politicization. “We had high hopes of creating a strong national carrier for Nigeria,” Tasew said. Unfortunately, after the change of government, the project failed, and it is now closed.”

The controversy around Nigeria Air began when Festus Keyamo, the Minister of Aviation and Aerospace Development, suspended the airline’s establishment upon assuming office a year ago. On August 5, 2024, Justice Ambrose Lewis-Allagoa of the Federal High Court in Lagos ruled that the process of awarding shares and operations of Nigeria Air to Ethiopian Airlines violated several laws, including the Companies and Allied Matters Act (CAMA) 2020, SEC Nigeria Consolidated Rules and Regulations 2013, the International Civil Aviation Organisation (ICAO) Convention, the Civil Aviation Act, and the Public Procurement Act.

The court’s ruling nullified the entire bidding process, stating that the conduct and decisions were unlawful. The Airline Operators of Nigeria (AON) filed the case and sought several reliefs, including cancelling the bidding process.

In an interview with Bloomberg, Tasew clarified that Ethiopian Airlines no longer plans to partner with Nigeria on this venture. “We don’t intend to collaborate with Nigerian airlines as the process has been politicized. We aimed to help Nigeria by using our experience to build a reliable, profitable airline, but the idea was not welcomed,” he stated.

Tasew emphasized that Ethiopian Airlines only wanted to support Nigeria but faced resistance from local airlines. “They saw our involvement as a threat to their businesses, which is incorrect. Since our efforts were not accepted, we have decided not to pursue this project any further,” he added.

Alhaji Abdulmunaf Yunusa Sarina, President of the Airline Operators of Nigeria (AON), also criticized the Nigeria Air initiative. He called it a “sham” orchestrated by former Minister of Aviation, Senator Hadi Sirika. Sarina accused the government of trying to hand over Nigeria’s substantial aviation market, backed by over 85 Bilateral Air Service Agreements (BASAs), to Ethiopian Airlines without any investment in the Nigerian economy.

He stated, “This was a hidden agenda to undermine Nigerian Indigenous airlines and favour Ethiopian Airlines through the back door, driven by the selfish interests of certain unpatriotic individuals.”