“No more N900k”: Airlines Raises Airfare To United States And UK

The cost of a ticket in dollars has increased for international airlines operating in Nigeria. The increased cost of travel to the US, the UK, and other nations is expected to result from the new ticket price. Airlines’ struggle to send home their revenue led to the decision to modify the exchange rate for ticket prices.

The exchange rate (RoE) for foreign airlines operating in Nigeria has increased from N610 to N634 per dollar.

In turn, this will result in higher ticket costs for Nigerians traveling to the US, the UK, and other nations. There has been a rise in the number of Nigerians looking to leave the nation in recent months, whether it be for work, study, or medical care.

Foreign airlines, however, have trouble getting their money back home; as of April 2023, over $800 million—a huge increase from $744 million in March 2023—was stranded in Nigeria.

International airlines have used a variety of strategies to avoid collecting money in naira, including selling tickets in dollars, to limit the amount of money trapped in Nigeria.

According to BusinessDay, the naira to dollar exchange rate has increased three times in the past three months since the decision was made.

In March 2023, the exchange rate was raised from N460 to N551, and in April, it was raised once more to N610. It has increased to N634 per $1 as of May.

According to Legit, Bankole Bernard, chairman of the Airlines and Passengers’ Joint Committee (APJC) of the International Air Transport Association (IATA), confirmed the rise and stated that the new N634 rate is slightly lower than the black market rate.

One-way ticket prices in economy class via Air France as of May 10 are:

• Lagos to Manchester: $1,108, also increased from N675,880 to N702,472.

• Lagos to the US: $1,604 economy ticket, now N1.01 million from N978,440 from the previous N610/$ exchange rate.

• Lagos to France: $939, now N595,326 from N572,790.

• Lagos to Spain: $1,354, now N858,436 from N825,940.