By Abiola Olawale
The International Air Transport Association (IATA) has officially removed Nigeria from its list of countries withholding airlines’ revenues, commonly referred to as blocked or trapped funds.
This announcement, made during IATA’s recent annual general meeting (AGM), marks a milestone in Nigeria’s efforts to resolve longstanding foreign exchange (FX) challenges that have impacted international carriers.
Kamil Al-Awadhi, IATA’s regional vice-president for Africa, Middle East, and Europe (AME), confirmed the decision during a news conference on Tuesday.
Al-Awadhi revealed: “Significant improvements have been made in Nigeria, Egypt, and Ethiopia over the last year, with Nigeria no longer on the list of blocked funds countries.
“However, countries in AME continue to top the blocked funds list. Mozambique is currently withholding the largest amount of blocked funds globally, followed by the XAF Zone (Cameroon, Central African Republic, Chad, Republic of the Congo (Congo-Brazzaville), Equatorial Guinea, Gabon) and Algeria and Lebanon.”
Al-Awadhi said as of April, a total of $1.28 billion is withheld globally, increasing from $1.7 billion in October 2024.
He said 29 AME countries are currently withholding international airlines’ revenues, with a total of $1.1 billion – representing 85 percent — being blocked in Africa and the Middle East.
According to a breakdown provided by the IATA official, countries with the highest amount of blocked funds in the AME as of April include Mozambique ($205 million), XAF Zone ($191 million), Algeria ($178 million), Lebanon ($142 million) and Angola ($84 million).
