The International Air Transport Association (IATA) has confirmed that globally, Nigeria is tops five most indebted countries to foreign airlines.
The Director General, Willie Walsh, disclosed at the 2023 IATA Annual General Meeting in Istanbul, Turkey, that trapped funds of foreign airlines across the globe, skyrocketed to $2.27 billion in April 2023 from the initial $1.55 billion in April 2022, a representation of 47 percent increase.
The list of the most indebted countries
According to Walsh, of the $2.27 billion trapped funds, Nigeria topped the most indebted five countries with $812.2 million followed by Bangladesh with $214 million debts.
Other top indebted countries are: Algeria with $196.3 million, Pakistan with $188.2million and Lebanon with $141.2 million. The debts accounted for 68.0% of blocked funds.
The IATA DG warned that the rapid rise of blocked funds are a threat to airline connectivity in the affected markets.
“Airlines cannot continue to offer services in markets where they are unable to repatriate the revenues arising from their commercial activities in those markets.
“Governments need to work with industry to resolve this situation so airlines can continue to provide the connectivity that is vital to driving economic activity and job creation,” Walsh said.
