Nigeria exits Aviation Working Group watchlist with 75.5% compliance on Cape Town Convention index

Nigeria has exited the Aviation Working Group (AWG) watchlist after achieving a 75.5% compliance score on the Cape Town Convention (CTC) Compliance Index.

This development marks a significant step toward unlocking access to global aircraft leasing markets for the country.

The AWG confirmed Nigeria’s removal from its watchlist following the completion of the Irrevocable De-registration and Export Request Authorization (IDERA) process, signed by the Nigerian Civil Aviation Authority (NCAA) on Wednesday.

In a statement issued on Thursday by Tunde Moshood, Special Adviser to the Minister of Aviation and Aerospace Development, the  AWG acknowledged that this milestone concludes Nigeria’s compliance efforts and opens new opportunities for aircraft financing and leasing.

“Nigeria’s global aviation compliance score has seen a significant improvement following the signing of the Administrative Rules governing aircraft repossession by creditors and lessors, known as the Irrevocable De-registration and Export Request Authorization (IDERA).  

“The Aviation Working Group (AWG) announced yesterday that Nigeria’s score on the Cape Town Convention (CTC) Compliance Index has been increased from 70.5% to 75.5%, placing the country in the ‘high category.’ This development marks Nigeria’s official removal from the AWG’s watchlist of non-compliant countries,” the statement read in part. 

More insight 

In a snapshot of an email from Jeffrey Wool, Secretary General of the Aviation Working Group (AWG), sent to Nigeria’s Aviation Minister, Festus Keyamo, with the Acting Director General of the NCAA, Chris Najomo, and others copied, Wool confirmed Nigeria’s new CTC compliance rating of 75.5.

The message highlighted the country’s promotion to the high category and congratulated the minister on the achievement.

“Dear Honourable Minister Festus Keyamo, 

Please see these two documents, just posted on the AWG website. You will see the new Nigeria score is 75.5, which places the country in the high category. Congratulations and well done,” the email read.

Another attached document, titled “CTC Compliance Index Score Adjustment Notice” and dated October 16, 2024, confirmed that Nigeria had officially reached a 75.5 compliance rating. The notice also announced the country’s removal from the AWG’s watchlist, following the NCAA’s issuance of Advisory Circular NCAA-AC-AWS001A on procedures for the recordation and enforcement of IDERA.

This compliance milestone provides Nigerian airlines with improved access to global aircraft leasing markets, enhancing financing opportunities and facilitating smoother dry-leasing arrangements. The advancement is expected to boost operational efficiency, increase flight frequency, and support the expansion of serviced routes across the country.

With increased leasing opportunities, passengers are expected to benefit from more competitive ticket prices, making air travel more accessible and affordable.

The statement noted that the Aviation Minister, Keyamo, expressed optimism that these reforms will attract investment, enhance the aviation sector, and further position Nigeria as a key player in global aircraft leasing markets.