By Kolawole Ojebisi
The Federal Airports Authority of Nigeria has declared a ban on cash transactions, stressing that plans are underway to hike tariffs nationwide.
According to the agency, the decision was prompted by a need to review its current revenue generation structure, stressing that 92 percent of its current revenue comes from aeronautical sources while only 8 percent is derived from non-aeronautical activities.
The agency added that this operational structure is in stark contrast to global standards, where non-aeronautical revenue accounts for over 40 percent in many developed countries.
The Director of Commercial and Business Development, FAAN, Adebola Agunbiade, disclosed this on Monday while speaking during an event in Lagos.
Agunbiade said, “We have to find the means to review our tariff in such a way that it’s not too much on you but it’s also helping us to pay our bills.”
“We have done it already; we will be putting out notices on it, but please rest assured that we will not be getting a review on a tariff that probably has been done too recently.
“But we are reviewing our tariff, and we will also ensure that we notify you early enough so that you, as businesses, can plan towards it,” she added.
Speaking on why the FAAN is considering a ban on cash transactions, FAAN’s Managing Director and CEO, Olubunmi Kuku, said the agency is often inundated by deluge of calls and enquiries from service providers on payment renewals and applications.
“Automation makes it easier for you to track your payment. We’re going cashless and contactless in payments,” she stated.
