Airlines on AGP Interline Electronic Ticketing Agreement (IET) GP code 275 are adopting a new policy which enables travelers to pay for flight tickets in Nigeria in dollars.
Driving the news
APG IET is adopting this new policy of issuing tickets only in dollars from April 19th 2022, as a result of the difficulty encountered in repatriating funds stuck in Nigeria and other countries and also the instability of forex rates.
Reports say that Nigeria is currently holding funds worth 283 million or N117.6 billion from unremitted ticket sales of foreign airlines. On a larger scale, 17 African countries are holding about $601 million.
What they are saying
The Minister of Aviation, Hadi Sirika last month, urged President Muhammadu Buhari and the Central Bank of Nigeria to grant foreign exchange access to both local and foreign airlines. The Director-General, International Air Transport Association, the global trade body representing over 230 international airlines, Willie Walsh, explained that the implications of holding airlines revenue is limiting the recovery of the travel and tourism sector since Covid-19 crisis.
Airlines on AGP IET
Notable airlines with the group include South African Airways, FlyDubai, Kenya Airways, Middle East Airlines, Royal Air Maroc, Rwandair, Thai Airways,Turkish Airlines, French Bee, Egypt Air, ASKY, Air Seychelles, Air Algerie, Air Namibia.
What does this mean
Travelers would suffer the impact of this policy by APG IET as sourcing forex from Nigerian banks has become increasingly difficult; this situation could limit traveling to priority as many have to resort to black markets for foreign currencies, which is currently at exorbitant rates.
Nigeria continues to suffer a continuous shortage of foreign exchange in the country.