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LAGOS, Oct 25 (Reuters) - The U.S. State Department on Tuesday authorised the departure of non-emergency U.S. government employees and their families from Nigeria due to a heightened risk of terrorist attacks in the country.

The latest travel update comes after the United States and the United Kingdom warned on Sunday of a possible terrorist attack in the capital Abuja, especially aimed at government buildings, places of worship and schools, among other targets.

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"The U.S. Embassy Abuja continues to have limited ability to provide emergency assistance to U.S. citizens in Nigeria," the State Department said.

Nigeria's Department of State Services said the United States had previously issued similar warnings and urged citizens to remain alert.

Insecurity, which is rife across most Nigerian states, is a major issue among voters who will choose a new president next February.

Reporting by MacDonald Dzirutwe; Editing by Sandra Maler

By   Balarabe Alkassim

The Central Bank of Nigeria (CBN) Governor, Godwin Emeifile has disclosed that the ongoing crisis about trapped funds belonging to foreign Airlines in the country will soon be over adding that no foreign airline will lose its funds.

He disclosed this at a meeting with Aviation industry stakeholders’ and  the Speaker, House of Representatives on Monday.

Emeifile said the country is going through difficult times and need not to be put under pressure or blackmailed to jeopardize the interest of the nation to satisfy the business interests of the foreign airlines.

The CBN Governor informed that, as part of the measures, the apex bank took a decision and $265 million was provided in trances and paid to the foreign airlines.

He however noted with dismay that despite the CBN’s efforts, the foreign airlines have reported to blackmail in order to portray the country in bad light.

According to the CBN governor, said that, it is not an obligation by law for the apex bank to sell dollars to Airlines, but their banks can source for them through the CBN or any other means.

He berated other countries like the United Kingdom, United Arab Emirates and others for not reciprocating the magnanimity shown to their entities by Nigeria by refusing to allow Nigeria’s airlines to operate to their countries.

Also Speaking, the minister of aviation, Senator Hadi Sirika said despite the difficulties the country has always find ways to meet its obligations.

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The minister noted that the Airlines can decide what they want to do, but Nigeria won’t be threatened because Nigeria is a very big aviation market which they can’t afford to lose.

In his remarks, the Speaker, Femi Gbajabiamila lamented the treatment being meted out on Nigerians in foreign countries citing the recent visa ban by the UAE and the refusal of some countries to block Nigerian airline operators to fly into their territories.

On his part, the International Aviation Transport Association (IATA), Samson Fatokun maintained that, despite the CBN intervention in August, the foreign airlines are still being owed $700 million in trapped funds.

He however said they will discuss with the airlines about the demands forwarded by the Speaker, the minister of aviation, the CBN and others on ways to make concessions and move forward to resolve the matter.

Speaking, the Vice Chairman, Airline Operator of Nigeria (AON) and chairman, Air Peace, Allen Onyema said, in order to domestic airlines to have a head way in foreign flight, the foreign airlines must be made to reduce their flight frequencies to their home countries and allow domestic airlines to fly the routes.

• Says Nigeria losing billions to vandalisation of navigational aids in eastern ports

The Managing Director of the Nigerian Ports Authority(NPA), Mohammed Bello-Koko has said the agency is in the process of procuring a Vessel Tracking Service (VTS) to enable it to identify, locate and monitor all vessels in the nation’s waters, even when such vessels switch off their Automatic Identification System (AIS).

Koko stated this while briefing State House correspondents yesterday in Abuja, noting that the Authority currently does not have the technology to detect rogue ships when they turn off their AIS.

Speaking against the backdrop of a recent incident where an oil tanker evaded arrest in Nigeria after illegally lifting crude oil, Bello-Koko said rogue vessels that engage in crude oil theft on Nigerian waters go undetected because they turn off their AIS.

According to him, the agency has been trying to acquire the VTS for about 10 years and has just identified a certified consultant, while also working with the Nigeria Liquefied and Natural Gas (NLNG) Company to help with critical detection.

He further assured that the technology would be procured before the end of the current administration.

Recall that the Federal Government in August awarded a multi-billion-naira pipeline surveillance contract to Tantita Security Services, a company led by a former militant leader, Government Ekpemupolo aka Tompolo.

Tompolo’s firm recently made startling revelations on crude oil theft in the Niger Delta area in which he said about 58 illegal oil points have been discovered so far since the operation to end oil theft on the waterways of Delta and Bayelsa states.

Speaking on activities of the eastern ports, Bello-Koko said the Onne Port Complex is the fastest-growing port in Nigeria.

He said the port is now active, not just in terms of importation, but also in exports.

According to him, the ports of Tin Can, Onne, Calabar are now ISO-certified, and because of this, there has been a tremendous increase in cargo traffic in Onne.

Bello-Koko said the Onne port handled 11,800 metric tonnes of cargo in the first half of 2022 while attributing the volume of trade to the ease of doing business at the port.

Bello-Koko, also raised an alarm that the Nigerian economy has been losing billions of naira to miscreants that vandalises navigational aids such as the fairway buoys located along the eastern port’s channels.

He said fairway buoys are those markers along the channel that guide the movement of ships with laden goods.

According to him, some miscreants vandalise the expensive buoys only to sell them as scraps compelling the Authority to invest millions in replacing them.

He said the NPA has lost businesses due to the absence of fairway buoys on the water channel.

“We have been to forums where shipping companies would decline to visit Nigerian ports, especially Warri and Calabar due to lack of buoys on the channels. These ships need the buoys to aid their navigation along the channel, and the absence of which could make a vessel go under,” he said.

The NPA boss however appealed to port communities to avoid such sabotage, which also comes with cost implications on the government and economic implications on the port communities due to loss of business.

He also noted that the deployment of the deep blue project asset in the eastern ports, which will commence in a few weeks, will help tackle insecurity on vessels.

Ha added that the deployment of marine police in the eastern ports has also helped to reduce incidents of piracy and hijacking of vessels.

Speaking on export operations at the port, the NPA boss said there is an export-processing terminal within Onne.

He said the terminal operators created an export-processing terminal, which NPA licensed as they have all the equipment, technology and processes to send it out.

Bello-Koko also said the West Africa Container Terminal (WACT), located in Onne port, spent $100 million on terminal expansion, adding that the development has aided the flow of business at the terminal.

Commenting on partnerships, Bello-Koko disclosed that the authority was working with the Nigerian Export Promotion Council (NEPC) to support the federal government’s diversification efforts.

In the technical partnership with the NEPC, he said the NPA had licensed 10 export-processing terminals in Lagos and Ogun states “in the first instance with more in the pipeline”.

He said these export-processing terminals, which will be linked with NEPC’s domestic export warehouses (DEWS) in the hinterland, have been programmed to eliminate all the delays that hitherto rendered Nigerian exports uncompetitive in the international marketplace.

Speaking on single window deployment, the NPA boss said one of the issues limiting a central automation system is that the different stakeholders in the maritime industry are working in silos with their various systems.

He said if the stakeholders come together to integrate their automation process into one system, the national single window will come to life in no time.

(Bloomberg) -- One of South Africa’s richest suburbs may be the target of a terrorist attack this weekend, according to an alert posted on the website of the US Embassy.

“The US government has received information that terrorists may be planning to conduct an attack targeting large gatherings of people at an unspecified location in the greater Sandton area of Johannesburg, South Africa, on 29 Oct.,” the embassy said in a statement. “There is no further information regarding the timing, method, or target of the potential attack.”

The embassy advised its staff to avoid crowds of people and other large public gatherings in the specified area over the coming weekend.

Many of the biggest companies in South Africa, including financial services group FirstRand Ltd., chemicals company Sasol Ltd., insurer Discovery Ltd., Bank of America Corp., Citigroup Inc., law firms and international auditing firms such as EY have their headquarters in Sandton. There is also a multi-faceted retail space in the suburb, which attracts crowds of tourists and locals on weekends. 

Liberty Two Degrees Ltd., the operator of retail properties in Sandton -- also known at the richest square mile in Africa -- said it’s taken sufficient security measures in and around the Sandton City mall, Nelson Mandela Square, offices, hotels and the Sandton Convention Centre.

The South African government is continuously assessing threats and will inform the public of any imminent attack, President Cyril Ramaphosa’s spokesman, Vincent Magwenya, said in a statement.

“We continue to monitor for any threats to our citizens, our nation and our sovereignty,” he said. “Threats are assessed continuously and are acted upon to ensure the safety of all.”

--With assistance from Paul Richardson.

(Updates with comment from retail operator in the fifth paragraph and comments by the President’s spokesman from the sixth paragraph)

(Bloomberg) -- Deutsche Lufthansa AG predicted demand for travel will remain strong in coming months as the desire to travel in the wake of the pandemic outweighs concerns about higher cost of living and the uncertain economic future.

The airline group said demand for flights in the fourth quarter looks strong, adding it also expects a robust performance for its maintenance and cargo divisions in the period. Bookings for the final quarter are running ahead of the levels seen for the same quarter in 2019, just before the pandemic tipped global aviation into an unprecedented downturn.

“The Lufthansa Group has economically left the pandemic behind and is looking optimistically into the future,” Chief Executive Officer Carsten Spohr said in a statement.

The carrier’s upbeat commentary during what is normally one of the most muted booking periods of the year suggests the industry is “confounding fears of a macro-driven slowdown even as Europeans turn the heating on,” said Bernstein analyst Alex Irving. Lufthansa rose as much as 3%, or 20 cents, to 6.85 euros in Frankfurt trading. The stock has gained 10% this year.

Lufthansa spent much of the peak holiday season battling disruption at its hubs as bookings surged, yet cancellations due to strikes and staff shortages pushed up ticket prices, lifting margins. Yields, a measure of airline profitability, rose 23% in the third quarter compared to the same period 2019, hitting a record.

The airline’s strong bookings come despite mounting signs of a slowdown in the company’s home European markets. A blend of high inflation and rising interest rates, as well as concerns over Russia’s war in Ukraine have dented consumer and business confidence.

The company already raised guidance earlier this month. Germany’s flagship carrier now expects adjusted earnings before interest and taxes this year of more than €1 billion ($981 million). That compares with previous guidance of above €500 million. Despite the usual seasonal slowdown in the fourth quarter, Lufthansa said it plans to achieve an operation profit in the period. 

Adjusted earnings before interest and tax in the third quarter amounted to 1.1 billion euros, Lufthansa said today. 

(Updates with share price, analyst comment)

…CBN can’t print dollars, Emefiele chides foreign airlines

…Allocates $84.7m to BA, Emirates, Qatar Airways, others

By Prince Okafor

No respite seems to be coming the  way of foreign airlines in Nigeria over their funds trapped in the country’s foreign exchange difficulties.

Vanguard Aviation World gathered that despite the intervention by the Central Bank of Nigeria, CBN, the volume of trapped funds is still rising, hitting $700 million, about 51 percent from the $346 million in September, 2022.

Recall that in August 2022, the CBN said it will release $265 million out of $456 million total outstanding due to the airlines, but in September, the airlines lamented that they were only able to access 50 per cent or $110 million of the amount, leaving a balance of $346 million.

Foreign airlines collect Naira for their tickets to customers and exchange the same for foreign currencies for their operations. But recently they said they have been unable to get the exchange executed through the official foreign exchange market due to scarcity of foreign exchange resources.

However, at the backdrop of this development, the CBN, Governor, Godwin Emefiele, cautioned the foreign airlines against blackmailing the country, stressing that the apex bank doesn’t and cannot print dollars.

Speaking during a meeting between the House of Representatives, International Air Transportation Association (IATA), Airlines Operators of Nigeria (AON), and representatives of the federal government, Emefiele noted that it was unacceptable for foreign airlines to resort to “blackmail” against the country because of their trapped funds.

He said: “Everyone is calling on CBN to release blocked funds, and I am doing everything I can to provide dollars for you to repatriate your money.

 “We used our discretion to allocate $265 million to the foreign airlines, broken down into spot and forward. We did $110 million on the spot and the rest in 60 days forward.

“On that day, we allocated to IATA $32 million through UBA. Qatar Airways, $22.8 million through Standard Chartered; Emirates, $19.6 million through Access Bank; British Airway, $5.5 million through GTB; Virgin Atlantic, $4.8 million through Zenith and others.

“How then can they go about and begin to say that they have not received money? This is an extra allocation. This is something I have told you (foreign airlines) that we will continue to do so that you will not blackmail the country. $120 million will be due on the 31 of October.

“I can print naira, even though I have been accused of over-printing naira, but I cannot print dollar. We have to either earn it or borrow it.

“Foreign airlines should respect the bilateral aviation services agreement (BASA) as it will tackle the problem of unrepatriated funds.

“When you allow Nigerian airlines to fly in your country, what the airlines will do is charge naira as we expect foreign airlines to charge. You cannot be flying 21 flights into Nigeria and you do not allow Nigerian airlines to land in your country and when they land, you intimidate them with sniffer dogs and do not allow them to carry out maintenance checks.”

Also, the Chairman of United Nigeria Airlines, Obiora Okonkwo, in a chat, stated that “This forex issue is affecting everybody. Today, manufacturers go to the bank to put in an invoice of $1 million and at the end of the day they might be lucky to get $50,000, this is the situation we find ourselves in, it is not a CBN issue as they can only give what is in their coffer.

“In a situation like this, these airlines could have a more creative way of spending their money, if there are bills they are paying in foreign currency they could negotiate with the Nigerian Civil Aviation Authority, NCAA, or other authority to give them a waiver so that they can use Naira to pay for these bills.

“If they want $400 million as of today, they can talk to about two or three banks in their country who will get them an I & E window and this will be over. If we the local operators can do that, why can’t they?

“We are watching, if CBN can give them the said amount, we will be happy because we know the money is there. We will also put up our bills which are also landing. They should also give us, the local operators, as foreign airlines cannot be given preferential rates.”

$700 million foreign airlines still trapped — IATA

Meanwhile, a representative of IATA, Samson Fatokun, disclosed that about $700 million of foreign airlines are still trapped despite the intervention of the CBN.

“The CBN should provide a timeline of how the funds are to be repatriated to assure the international airline operators.

“What we have right now is $700 million — our balance is $700 million. The airlines are reasonable by saying that the federal government of Nigeria should give them a plan for repatriation,” he said.

BY  Chinedu Eze

There is no sign that airfares in domestic flights may come down as many hoped when the base far rose to N50, 000 for one hour flight about seven months ago; rather, the base fare has risen to N70, 000.

Booking a flight for middle of November from different domestic airline sites last week indicated that the minimum fares for one-hour flight was N74, 000.

 This, industry experts said, would rise as air transport enters the last high season of the year, which would, predictably end in the third week of January next year.

Despite the entrance of four new airlines into the domestic market after COVID-19 lockdown, the airfares remain untamed. The new entrants are; Green Africa, United Nigeria Airlines, Valuejet and Rano Air, which is yet to start operation.

Industry stakeholders said that the entrance of these airlines did not make much impact because they do not have many aircraft in their fleet.

Also, there was significant reduction of aircraft seats, as many that went for maintenance overseas have not all returned due to paucity of forex. So existing airlines do not have many of their aircraft in operation.

Christmas season is the biggest season for Nigerian airlines and even during normal times when the value of the naira had not crashed and dollars very scarce, fares increase by over 50 per cent during the Yuletide.

But now, the Chief Executive Officer of Aero Contractors, Captain Ado Sanusi, said that the fares might more than double, but expressed hope that Aero, which would return to the market soon after it suspended its operation, would help to control the fares.

THISDAY learnt that Aero may bring in about four aircraft into the market and this may increase to six by December, as it plans to bring down the soaring fares.

“The fares will increase, no doubt, but when we come in, we shall strive to stabilize the fare, just some little reduction,” Sanusi said.

In May this year, it was projected that fares might rise to N100, 000 but depending on destination, when the traveller purchased ticket and demand, some routes now go for over N100, 000; that return tickets go for about N220, 000 to N240, 000.

Spokesman of Airline Operators of Nigeria (AON) and Chairman/CEO of United Nigeria Airlines, Dr Obiora Okonkwo, state in May, “Obviously, the rise in fares to N100, 000 for one hour flight is inevitable. I can tell you that all the airline operators, in the last three months, have been losing money, a huge amount of money. There is too much stress on the operational fronts for them to break even.

“Even if the aviation fuel is made available, there must be a review to reflect the minimal operational cost. We are offering patriotic services to the nation and understand the essential part of it. We are part of this economic development process in Nigeria but it is coming at a very huge sacrifice.”

“Nothing less than N100, 000, between N100, 000 and N120, 000 base price, even with Jet A1 fuel at N400 – N500. That is what it is. In the industry, it is expected that you will gain some here and lose some here but the biggest challenge indigenous operators are having is that the cost of everything is high. You source money from the commercial bank rates. You source money from the black market. No moratorium for your loans and the banks and AMCON are quick to jump on you,” he had said.

Industry analyst and the publicity secretary of Aviation Round Table (ART), Olu Ohunayo expressed the hope that the fares may eventually come down, noting that cost of aviation fuel is no more going up as predicted.

“We need to commend domestic airlines for what they have been doing and how they have been contributing to the economic development of the country. Four new airlines joined the market since after COVID-19, so compared to other countries, Nigeria is doing well. These new airlines have come with innovations. They are not only going to the trunk routes, but also to the other routes as well,” he said.

Ohunayo said that what Nigeria needs now is not national carrier, but the aviation agencies should improve the infrastructure at the airports, especially providing the critical facilities at the airports so that airlines could operate more hours to the different airports more than the current 12 hours envelop.

He noted that if airlines maximise their equipment by operating more hours it would help to reduce the fares, bring down maintenance cost and also the airlines would earn more revenue.

“We are looking forward to, not the national carrier, but aviation agencies should improve the airports and provide night landing facilities so that airlines can operate more hours to more airports. This will increase revenue for the airlines, bring down cost because the more they operate the cheaper the fares and as you increase the operational cycle the operational cost will reduce. Also, I see Aero and Dana Air coming back and with the reappointment of Captain Ado Sanusi, Aero will do very well,” Ohunayo said.

Spokesman of one of the major airlines told THISDAY that the reason why fares are high is because there is no capacity.

“In February this year, an official of another airline complained to me that they were not having enough passengers, even when the fares were low, but now, at N70, 000 to N90, 000 they are having more customers now and operate profitably. This Christmas, fares may rise to N200, 000. This is because nobody cares how the airlines are managing their service, the cost of operation is very high and as long as the seats available are not meeting the demand, the fares will continue to rise,” he said.

Like all other means of transport, the airlines and Nigerians in general are waiting for Dangote refinery to start operation; that is when it is hoped that price of fuel products would come down.

Nigeria largest carrier, Air Peace marked its 8th anniversary and gave its customers and frequent flyers free flight tickets.

The airline’s stations nationwide were decorated to reflect the celebrations and it has initiated a couple of social media activities to reward lucky customers with free flight tickets.

The Spokesperson of Air Peace, Stanley Olisa, expressed delight that the airline was eight years stronger and added that in less than a decade, it has created massive impact in Nigeria and by extension, West African aviation industry.

“We are very happy to be celebrating eight years of providing connectivity for Nigerians and abundantly thankful to them for their support and patronage since inception. We could not have come this far without you.

“We started with a vision to seamlessly interconnect cities and a future-proof blueprint to achieve that vision, and we are on track.

“From starting with seven aircraft exactly 8 years ago, we have grown to become a leader in the West African markets, easing the burden of air travel with the provision of multiple network options for the flying public while also contributing immensely to the growth of the economies where we operate”, Olisa said.

(Bloomberg) -- Air France-KLM and British Airways owner IAG SA unveiled plans to lift passenger capacity close to pre-Covid levels, despite widespread concerns regarding the impact of higher living costs on demand.

Available seating at London-based IAG is expected to reach around 95% of the 2019 figure in the first quarter of 2023, while its Franco-Dutch rival is targeting 90%, according to statements Friday.

IAG Chief Executive Officer Luis Gallego said that the recovery continues to be spurred by a pent-up desire for vacations and visits to friends and family following the coronavirus crisis.

The capacity hikes represent a gamble on leisure bookings remaining strong in an increasingly challenging economic environment, with consumer spending pinched by rising inflation and a jump in energy costs. Business travel, vital to network carriers like BA and Air France, is returning more slowly, Gallego said.

Investors appeared less confident in the outlook for the firms, with shares of Air France-KLM trading 7.9% lower as of 10:22 a.m. in Paris and IAG priced down 1.3%.

Deutsche Lufthansa AG, the region’s other main full-service carrier, on Thursday also predicted that the desire to travel will remain strong. The stock traded little changed Friday.

IAG, which also owns Iberia of Spain, Ireland’s Aer Lingus and discount specialist Vueling, will lift capacity from 87% of 2019 levels during the current quarter, and Air France-KLM from 85%.

Airport Hurdles

Other brakes on growth remain, with Gallego saying that British Airways, hamstrung by labor shortages at London Heathrow airport, will lift first-quarter capacity to about 90% of normal levels, lower than at some other units.

His Air France-KLM counterpart Ben Smith said that issues remain at KLM’s Amsterdam Schiphol hub, which has capped capacity, though there have been “significant” operational improvements elsewhere.

IAG reported an operating profit of €1.21 billion for the quarter through September on the back of a bumper holiday season, confirming guidance issued on Oct. 13 that far exceeded analyst estimates at the time. It predicted a full year-operating profit of €1.1 billion, before exceptional items.

Air France-KLM reported third-quarter net income of €460 million and said the full-year operating result will be above €900 million, aided by booming North American bookings fueled by the strong dollar.

The group has said it wants to reimburse three quarters of the state aid that helped it survive the pandemic as soon as possible.

The group had €12.3 billion of liquidity and credit lines as of Sept. 30, with a €1 billion reimbursement planned next month followed by a possible hybrid bond issue of as much as €1.2 billion, depending on market conditions.

Still, Stifel analyst Johannes Braun said in a note that Air France-KLM’s balance sheet remains uncomfortable “in light of next year’s deteriorating market fundamentals.”

(Updates with IAG earnings throughout)

The United Kingdom’s General Medical Council has licensed fresh 91 Nigerian-trained doctors.

Our correspondent discovered that the accreditation of the 91 doctors occurred over 15 days between October 10 and October 25, 2022.

The total number of Nigerian-trained doctors in the UK now stands at 10,387.

There are 5,210 associate specialists, 2,318 doctors in training, 1,837 general practitioners, and 1,273 specialists among the 10,387 doctors.

The accreditation of the 91 doctors came amidst cries by the Nigerian Medical Association against the brain drain bedevilling the health sector.

Apart from doctors, other categories of health workers are also migrating.

The PUNCH reports that the statistics also showed that between January 1, 2022, and September 30, 2022, about 1,307 Nigerian-trained doctors were licensed in the UK as Nigeria continues to battle one of the worst situations of brain drain in its history.

However, Nigerian doctors who got medical qualifications in schools outside the country are not included in the data.

The NMA, while lamenting the high rate of medical brain drain, said Nigeria may import doctors in the future.

Nigeria currently has the third-highest number of foreign doctors working in the UK after India and Pakistan.

The National President of the Medical and Dental Consultant Association of Nigeria, Dr Victor Makanjuola, while commenting on the situation earlier, said, “In the last two years, over 500 consultants, in my estimation, have left the services of government hospitals for practice abroad. All our government hospitals are consultant-led practices, which is the global standard. We have lost 500 in just two years, and we have found out that those who are more likely to leave are the younger ones.

“To sustain the system and be able to train the next generation of medical doctors and medical students, Nigeria needs to retain the older consultants who are in their 50s and getting close to retirement so that they can stay back and train the next generation of doctors and medical students.

“Otherwise, the disaster of brain drain would be doubled because we would lose the younger ones and the older ones at about the same time, and you would find a system without consultants. This would affect the standard of care and the quality of care given by hospitals.”