Ibom Air Eyes Top African Profitability Ranking as Uyo–Accra Route Signals Regional Ambition
Nigeria's rising star carrier, Ibom Air, could easily rank among the most profitable airlines on the African continent were it not for the crippling combination of high financing costs, expensive aviation fuel and inflated insurance premiums that continue to squeeze operators in the country. This candid assessment was shared by the airline's Managing Director and Chief Executive Officer, Mr. George Uriesi, during the recent launch of the airline's new Uyo–Accra service, a milestone route that firmly places the carrier on the regional West African map.
According to Uriesi, the underlying commercial fundamentals of Ibom Air remain remarkably strong. The airline recorded an EBITDA margin of approximately 35 per cent in 2025, a performance that outshines many established international carriers. However, much of this hard-earned operating profit is currently swallowed up by heavy interest payments on loans, rather than being channelled into fleet growth, network expansion or product enhancement. It is a familiar frustration echoed across boardrooms of many African airlines competing in a global industry where capital is significantly cheaper elsewhere.
The carrier's investment in the modern Airbus A220 fleet has delivered impressive operational efficiency, with the aircraft's fuel economy and passenger comfort giving Ibom Air a competitive edge on domestic and regional routes. Unfortunately, these efficiency gains have been largely offset by Nigeria's double-digit borrowing rates. Uriesi noted that if the airline could access single-digit financing — the norm for European and Middle Eastern peers — its profitability would climb sharply, and growth would accelerate in a meaningful way.
Fuel costs remain another painful pressure point. Uriesi recalled how the tripling of aviation fuel prices in recent years forced Nigerian carriers to redesign their entire business models. The fuel bill for a single Abuja flight, once under ₦2 million, has ballooned to nearly ₦8 million. Fare adjustments have been unable to keep pace with these increases, given the limited purchasing power of the average Nigerian traveller. The result is a delicate balancing act between remaining commercially viable and keeping air travel accessible to the everyday consumer.
Equally troubling is the burden of insurance premiums. Despite Nigerian carriers meeting the same global safety standards as their international counterparts, local operators frequently pay three to four times more than European airlines to insure the same aircraft type [[1]](https://aviationweek.com/mro/nigerias-ibom-air-seeks-role-african-mro-leader). This disparity, Uriesi warned, weakens the ability of African carriers to compete on fares, expand into international markets and build the scale required to become truly regional powerhouses. It is a systemic issue that continues to hold back the growth of intra-African aviation, even as demand for connectivity rises.
The Ibom Air chief was, however, quick to commend the Minister of Aviation and Aerospace Development for progress in facilitating aircraft acquisitions and easing certain industry bottlenecks. Yet he stressed that deeper reforms in financing structures, insurance pricing and operating cost frameworks are essential to unlock the full potential of Nigerian airlines. Without these changes, Nigerian carriers will continue to fly below their true commercial altitude.
For travel professionals across sub-Saharan Africa, the launch of the Uyo–Accra route is a development worth watching closely. It signals Ibom Air's clear intention to deepen its footprint on the continent before eventually considering long-haul operations. Uriesi emphasised that until the cost environment becomes more competitive, the airline will focus on strengthening its African network rather than stretching into intercontinental services. This strategy could translate into more attractive West African connectivity options for agents packaging cross-border leisure and business itineraries, as well as new opportunities for interlining and codeshare partnerships.
The broader message from Uriesi's remarks is one that resonates across Africa's travel trade: the continent's aviation ambitions are within reach, but structural reforms in financing and operating conditions will determine whether homegrown airlines can rise to meet the moment. As Africa moves deeper into an era shaped by the African Continental Free Trade Area and the Single African Air Transport Market, carriers like Ibom Air offer a glimpse of what is possible when strong management meets modern equipment — and what could be achieved with a fairer cost environment underpinning it all.
