Nigeria defends world’s worst airport dubbed ‘corrupt, dirty with a tent for arrivals’



LAGOS // Unhelpful staff, demands for bribes, lack of seating, broken air-conditioning and a tent for an arrivals hall. Nigeria’s Port Harcourt international airport was recently voted the worst in the world.

The damning verdict came from a travel website, sleepinginairports.net, based on feedback from thousands of travellers on criteria such as terminal services and facilities, cleanliness and comfort.

As well as the dubious global honour, Port Harcourt, Nigeria’s oil hub, was described as “the dirtiest and most corrupt airport in Africa”.

The capital, Abuja, and financial hub, Lagos, were judged seventh and 10th worst on the continent.

But the country’s aviation regulator, the Federal Airports Authority of Nigeria (Faan), disputed the ranking.

Faan spokesman Yakubu Dati called it “unfounded” as the domestic terminal at Port Harcourt was undergoing renovation and a new international terminal was being built.

Lagos’ Murtala Muhammed international airport has also undergone similar renovation, while Chinese engineers are building a new terminal at the Nnamdi Azikiwe airport in Abuja.

“While we regret any inconvenience experienced at these airports, including Port Harcourt international airport, due to ongoing construction projects, we promise all airport users that services at these airports will surely get better at the completion of these projects,” he said.

Nigeria’s aviation industry has evolved since the liquidation of the state-run Nigeria Airways in the early 2000s because of mismanagement and corruption.

With more than 20 functional planes in 1979, the national carrier was left with just two in 1999, prompting the government to throw open the skies to the private sector.

Carriers such as Arik Air, Dana Air, Aero Contractors, Med-View, Kabo and Overland Airways have since emerged as key players.

Arik, which has a partnership for maintenance with Lufthansa, is dominant with a strong presence on domestic and regional routes, as well as longer-haul flights to London, New York and Johannesburg.

Med-View recently got the nod to fly Lagos-London from November 20.

Emirates, Qatar Airways, British Airways, Virgin Atlantic, Lufthansa, Air France-KLM and African airlines South African and Ethiopian are among international carriers flying to Nigeria.

On domestic routes, fuel shortages regularly lead to flight cancellations while air crashes, such as a Dana Air flight that came down in Lagos in 2012, killing 147, have generated safety fears.

In airports themselves, decaying or non-existent facilities have failed to make good impressions.

In 2012, the government awarded contracts to remodel Nigeria’s 22 airports, including the construction of new terminals at four international airports, with the help of a US$500 million (Dh1.84bn) loan from China’s Nexim Bank.

On completion, the projects are expected to help grow passenger traffic to 16 million passengers per year, from 14.1 million in 2012.

Aviation experts, however, say the extent of works do not correspond to the money spent.

“The remodelling of the airports has been on for four years, but regrettably, not much is on ground in terms of modern facilities,” said a former senior official of the Nigeria airspace management agency on condition of anonymity.

The chairman of commercial carrier Arik, Joseph Arumemi-Ikhide, shared a similar view and called on the government to focus on infrastructure, from terminals to luggage conveyor belts.

“With this and good fuel supply the airlines can operate efficiently,” he said.

Niyi Akinnaso, a US-based university teacher and newspaper columnist, said familiar Nigerian problems of mismanagement and corruption were holding the sector back.

The $500 million Chinese loan would not have been necessary if there were proper accountability in revenue collection, he argued in a recent article in The Punch newspaper.

He said the federal airports authority of Nigeria rakes in more than $2 billion a year from passenger surcharges and other fees, including a $60 surcharge from every international ticket.

* Agence France-Presse

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Scoreline

Chelsea 1
Azpilicueta (36')

West Ham United 1
Hernandez (73')

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COMPANY PROFILE
Name: HyperSpace
 
Started: 2020
 
Founders: Alexander Heller, Rama Allen and Desi Gonzalez
 
Based: Dubai, UAE
 
Sector: Entertainment 
 
Number of staff: 210 
 
Investment raised: $75 million from investors including Galaxy Interactive, Riyadh Season, Sega Ventures and Apis Venture Partners
Tree of Hell

Starring: Raed Zeno, Hadi Awada, Dr Mohammad Abdalla

Director: Raed Zeno

Rating: 4/5

Jigra
Director: Vasan Bala
Starring: Alia Bhatt, Vedang Raina, Manoj Pahwa, Harsh Singh
Rated: 3.5/5
Singham Again

Director: Rohit Shetty

Stars: Ajay Devgn, Kareena Kapoor Khan, Ranveer Singh, Akshay Kumar, Tiger Shroff, Deepika Padukone

Rating: 3/5

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Thank You for Banking with Us

Director: Laila Abbas

Starring: Yasmine Al Massri, Clara Khoury, Kamel El Basha, Ashraf Barhoum

Rating: 4/5

While you're here
UAE currency: the story behind the money in your pockets
What is the FNC?

The Federal National Council is one of five federal authorities established by the UAE constitution. It held its first session on December 2, 1972, a year to the day after Federation.
It has 40 members, eight of whom are women. The members represent the UAE population through each of the emirates. Abu Dhabi and Dubai have eight members each, Sharjah and Ras al Khaimah six, and Ajman, Fujairah and Umm Al Quwain have four.
They bring Emirati issues to the council for debate and put those concerns to ministers summoned for questioning. 
The FNC’s main functions include passing, amending or rejecting federal draft laws, discussing international treaties and agreements, and offering recommendations on general subjects raised during sessions.
Federal draft laws must first pass through the FNC for recommendations when members can amend the laws to suit the needs of citizens. The draft laws are then forwarded to the Cabinet for consideration and approval. 
Since 2006, half of the members have been elected by UAE citizens to serve four-year terms and the other half are appointed by the Ruler’s Courts of the seven emirates.
In the 2015 elections, 78 of the 252 candidates were women. Women also represented 48 per cent of all voters and 67 per cent of the voters were under the age of 40.
 

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COMPANY%20PROFILE
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Joker: Folie a Deux

Starring: Joaquin Phoenix, Lady Gaga, Brendan Gleeson

Director: Todd Phillips 

Rating: 2/5

A%20QUIET%20PLACE
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'My Son'

Director: Christian Carion

Starring: James McAvoy, Claire Foy, Tom Cullen, Gary Lewis

Rating: 2/5

The%20Specs%20
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PROFILE OF SWVL

Started: April 2017

Founders: Mostafa Kandil, Ahmed Sabbah and Mahmoud Nouh

Based: Cairo, Egypt

Sector: transport

Size: 450 employees

Investment: approximately $80 million

Investors include: Dubai’s Beco Capital, US’s Endeavor Catalyst, China’s MSA, Egypt’s Sawari Ventures, Sweden’s Vostok New Ventures, Property Finder CEO Michael Lahyani

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Scoreline

Arsenal 3
Aubameyang (28'), Welbeck (38', 81')
Red cards: El Neny (90' 3)

Southampton 2
Long (17'), Austin (73')
Red cards: Stephens (90' 2)

How to keep control of your emotions

If your investment decisions are being dictated by emotions such as fear, greed, hope, frustration and boredom, it is time for a rethink, Chris Beauchamp, chief market analyst at online trading platform IG, says.

Greed

Greedy investors trade beyond their means, open more positions than usual or hold on to positions too long to chase an even greater gain. “All too often, they incur a heavy loss and may even wipe out the profit already made.

Tip: Ignore the short-term hype, noise and froth and invest for the long-term plan, based on sound fundamentals.

Fear

The risk of making a loss can cloud decision-making. “This can cause you to close out a position too early, or miss out on a profit by being too afraid to open a trade,” he says.

Tip: Start with a plan, and stick to it. For added security, consider placing stops to reduce any losses and limits to lock in profits.

Hope

While all traders need hope to start trading, excessive optimism can backfire. Too many traders hold on to a losing trade because they believe that it will reverse its trend and become profitable.

Tip: Set realistic goals. Be happy with what you have earned, rather than frustrated by what you could have earned.

Frustration

Traders can get annoyed when the markets have behaved in unexpected ways and generates losses or fails to deliver anticipated gains.

Tip: Accept in advance that asset price movements are completely unpredictable and you will suffer losses at some point. These can be managed, say, by attaching stops and limits to your trades.

Boredom

Too many investors buy and sell because they want something to do. They are trading as entertainment, rather than in the hope of making money. As well as making bad decisions, the extra dealing charges eat into returns.

Tip: Open an online demo account and get your thrills without risking real money.

COMPANY PROFILE
Name: Almnssa
Started: August 2020
Founder: Areej Selmi
Based: Gaza
Sectors: Internet, e-commerce
Investments: Grants/private funding

Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”