Domestic airline fares are to increase by 30% following an increase in the cost of leasing aircraft as well as higher insurance premiums. Because Nigeria is now classified as a “high risk nation”, the cost of leasing an aircraft by a Nigerian airline has increased by 60%, while since the Dana Air fatal air crash in Lagos, insurance premiums have soared.
When the planned increase in fares is effected, the price of a round trip ticket for a one-hour flight will increase to between 37,000 (US$231) and 42,000 Naira (US$262), from the current average of 28,000 (US$175) and 33,000 Naira (US$206).