Enugu State Targets $30bn Economy with New Airline and Airport Deal

Enugu State is banking on its new airline and the concession of Akanu Ibiam International Airport to help boost its economy from $4.4 billion to $30 billion by 2031. This was shared by the Secretary to the State Government, Chidiebere Onyia, on Tuesday.

Mr Onyia made these comments during the Renewed Hope Media Tour of the airport. He explained how the state government plans to use aviation, tourism, and agriculture to drive economic growth.

He said the airport concession is part of a bigger plan by Governor Peter Mbah’s administration to make Enugu a key economic center in the South-east.

“We looked at Enugu as an economic hub where tourism, hospitality, investment, and aviation can work together to drive growth,” he said.

Mr Onyia mentioned that the state expects more visitors in the coming years. He believes air transport will be key in supporting that growth.

He explained that the government’s plans aim to attract tourists, investors, and businesses to the state.

According to him, relying only on commercial airlines could limit the state's ability to transport people efficiently.

This thought led to the decision to create Enugu Air.

“If we’re expecting people to come into Enugu, then we can’t depend solely on third-party airlines based on their schedules,” he said.

Mr Onyia noted that Enugu Air has six aircraft. He called it the first phase of the project.

The state government also hopes the aviation project will boost tourism.

Mr Onyia said work is ongoing to revamp tourist sites across the state. He mentioned attractions that are expected to bring more visitors to Enugu.

Improved access to the state will help investments in tourism and hospitality. This will make it easier for visitors to reach various destinations.

“If people are going to come here for tourism, they need to be able to get into Enugu, and when they get into Enugu, we’ll need places for them to visit,” he said.

He also pointed out that the airport infrastructure will support the state’s agricultural plans through cargo operations.

According to him, the cargo terminal will ease the movement of goods and agricultural products within and outside the state. This will create more opportunities for businesses and investors.

“This is also going to help our agricultural investment outlook because this is where the cargo terminal will be, where we can move things in and out of the state,” he said.

He added that the government's vision is to use aviation infrastructure to boost trade and economic activities across the region.

Private sector-led approach

Mr Onyia said the state chose a private sector-driven model for the airline and airport projects to ensure efficiency and sustainability.

He noted that experienced professionals have been involved in developing the airline and its governance structure.

This approach aims to avoid common challenges seen with direct government management of commercial projects.

On the airport concession process, Mr Onyia said that October is the timeline for the next phase of activities.

He explained that this stage is an important milestone. It will allow concessionaires and contractors to start work at the site.

Mr Onyia thanked President Bola Tinubu and the Federal Ministry of Aviation for their support in advancing the project.

He said federal approvals helped move the initiative from planning to implementation.

The concession of Akanu Ibiam International Airport was approved by the Federal Executive Council. This is part of efforts to attract private investment into airport infrastructure.

In January, the Minister of Aviation and Aerospace Development, Festus Keyamo, signed a concession agreement with Aero Alliance for the operation of the airport.

Under this arrangement, ownership of the airport remains with the Federal Government. The concessionaire will operate, maintain, and upgrade the facility.

This project has gained public attention recently. The Federal Government and Enugu State are working to make the airport a key gateway for business, tourism, and trade in the South-east.