The International Air Transport Association has confirmed that Nigeria has been removed from the list of countries with blocked airline funds, also known as unrepatriated or trapped revenues.
Speaking at a press briefing during IATA’s recent Annual General Meeting, the association’s regional vice-president for Africa, the Middle East,Europe, Kamil Al-Awadhi, acknowledged ongoing challenges with blocked funds in the region.
However, he noted that significant progress has been made in Nigeria, Egypt, and Ethiopia, highlighting Nigeria’s efforts to resolve the issue as particularly commendable.
“Significant improvements have been made in Nigeria, Egypt and Ethiopia over the last year, with Nigeria no longer on the list of blocked funds countries,” the vice-president said.
“However, countries in AME continue to top the blocked funds list. Mozambique is currently withholding the largest amount of blocked funds globally, followed by the XAF Zone (Cameroon, Central African Republic, Chad, Republic of the Congo (Congo-Brazzaville), Equatorial Guinea, Gabon) and Algeria and Lebanon.”
Al-Awadhi stated that as of April 2025, a total of $1.28 billion in airline revenues remains blocked globally, marking a decrease from $1.7 billion in October 2024.
He revealed that 29 countries in Africa, the Middle East, and Europe (AME) are currently withholding international airlines’ revenues.
“… out of that, $919 million is tied up in African countries,” the vice-president added.
Kamil Al-Awadhi provided a breakdown of the AME countries with the largest amounts of blocked airline funds as of April, including:
Mozambique: $205 million; XAF Zone: $191 million; Algeria: $178 million; Lebanon: $142 million; and Angola: $84 million.
He lamented the harmful effects of these unrepatriated funds and stressed that steady cash flow is crucial for the long-term sustainability of airlines.
He explained that when airlines cannot repatriate their funds, it seriously disrupts their operations and restricts the number of markets they are able to serve.
“Reduced air connectivity hampers countries’ competitiveness, diminishes investor confidence and labels countries as a high-risk place to do business,” he added.
“Strong connectivity is an economic enabler and generates considerable economic and social benefits.
“We call on governments to prioritise aviation in the access to foreign exchange on the basis that air connectivity is a vital key economic catalyst for the country.”
For years, blocked funds have been a key source of tension between Nigeria and international airlines.
In 2023, Nigeria held the highest amount of trapped airline revenues globally, mainly because of an ongoing foreign exchange shortage that impacted various sectors.
