The Managing Director of the Federal Airports Authority of Nigeria (Federal Airports Authority of Nigeria), Olubunmi Kuku, has said that the Federal Government’s decision to renegotiate the concession agreement for the Murtala Muhammed Airport Terminal II was aimed at restoring investor confidence, improving fairness, and resolving long-standing disputes surrounding the public-private partnership project.
Speaking at the African Air Transport Convention and Expo 2026 in Togo, Kuku noted that successful PPP arrangements depend not only on funding but also on strong institutional frameworks, regulatory stability, and proper project execution.
She explained that the renegotiation of the MM2 concession, which has now been concluded and approved by the Federal Executive Council, was necessary to address years of conflict linked to the project and to provide clearer terms for both government and private investors.
According to her, the resolution is expected to strengthen investor trust in Nigeria’s aviation infrastructure sector and serve as a model for future concession agreements.
Kuku stressed that improved clarity in concession management is essential to preventing future disputes and ensuring better project delivery across the aviation industry.
She also called for stronger regional coordination in aviation infrastructure development, suggesting the creation of national delivery teams that would bring together stakeholders from aviation, security, transport, and government agencies to improve project execution.
On aviation financing, she advised against establishing new financial institutions dedicated to the sector, instead recommending that existing banks create specialised aviation desks capable of supporting industry-specific needs and project preparation.
Kuku further highlighted the importance of collaboration between project promoters and financiers, noting that better alignment would improve access to funding and enhance infrastructure development outcomes.
She referenced ongoing plans to extend the Lagos Red Rail Line to airport terminals, adding that such projects could be supported through co-financing arrangements backed by airport-generated revenue.
She concluded that stronger partnerships, improved contract management, and coordinated infrastructure planning remain key to unlocking long-term growth in Nigeria’s aviation sector.
