Domestic air travel in Nigeria saw a significant rise in costs in July 2024, with airfares jumping by 25% year-on-year, according to the latest report from the National Bureau of Statistics (NBS). The average fare for a one-way domestic flight increased to ₦98,561.74, compared to ₦78,775.74 in July 2023. This represents a 9.65% increase from the previous month (June 2024), highlighting the rising cost of air travel within the country.
The steep increase in airfare comes on the heels of the federal government’s announcement in July 2024 that it would further raise tax charges on the aviation sector. This decision was met with concerns from the Airline Operators of Nigeria, who have been vocal about the challenges posed by multiple taxation on the industry.
Despite the surge in air travel costs, the NBS report noted a decrease in prices for other modes of transportation in July 2024. For instance, the average fare for bus journeys within cities dropped by 2.18%, from ₦963.58 in June 2024 to ₦942.61 in July 2024. On a year-on-year basis, this fare declined by 29.46% from ₦1,336.29 in July 2023.
Intercity bus travel saw a slight month-on-month increase of 0.35%, with fares rising to ₦7,117.17 in July 2024 from ₦7,092.03 in June 2024. Meanwhile, the cost of motorcycle (Okada) transportation rose by 1.22%, reaching ₦483.33 in July 2024 compared to ₦477.49 in the previous month. However, on a year-on-year basis, Okada fares dropped by 25.20% from ₦646.12 in July 2023.
Waterway passenger transportation also saw a minor decrease, with the average fare paid in July 2024 being ₦1,403.06, a 0.44% decline from the previous month. Year-on-year, this fare slightly decreased by 0.26% from ₦1,406.70 in July 2023.
In terms of regional variations, Anambra State recorded the highest average fare for intercity bus travel at ₦9,566.89, followed by Gombe at ₦8,299.44. On the lower end, Kwara and Ebonyi states had the lowest intercity bus fares at ₦5,518.38 and ₦5,596.11, respectively. For intra-city bus journeys, Taraba State topped the list with the highest fares at ₦1,457.28, followed by Ondo State at ₦1,200.94.
The report underscores the growing financial burden on domestic air travelers in Nigeria, driven by escalating tax pressures and operational costs in the aviation sector, while other forms of transportation offer some relief in terms of fare reductions.
