Nigerian airlines have accumulated more than ₦60 billion in loans from local banks to finance the purchase of aviation fuel amid persistently high Jet A1 prices, the Airline Operators of Nigeria (AON) has disclosed.

A member of the AON Board of Trustees, Roland Iyayi, revealed this in an interview with Sunday PUNCH, noting that the rising cost of aviation fuel had placed significant pressure on airlines’ revenues and operations.

Iyayi said some airlines were borrowing heavily from local banks to sustain their operations and meet the increasing cost of purchasing aviation fuel.

He stated, “There are some airlines that are owing over N60bn from local banks just to be able to procure fuel. That’s how bad it is.”

The development highlights the financial pressure facing Nigerian airlines as high aviation fuel costs continue to affect their operating expenses and overall profitability.