Nigeria's economic progress is being severely hampered by its failing transport networks, but industry leaders see a clear path to revival through innovation and targeted financial support. This was the central message from the Nigeria Transport Infrastructure Summit 2025, held recently in Lagos.
A Unified Call for Transport Reform
Gathering experts from road, rail, aviation, and maritime sectors, the one-day summit focused on the theme 'Nigeria’s Transport Infrastructure: Innovation for a Sustainable Future.' The Chairman of the summit, Fola Tinubu, who is also the Managing Director of Primero Transport Services Ltd, set a decisive tone. He described transportation as the lifeblood of national development, crucial for connecting people, driving trade, and fueling growth.
Tinubu acknowledged the country's chronic issues like overstretched roads, limited rail coverage, ageing ports, and underperforming airports. However, he framed these weaknesses as opportunities. He called for a national shift towards technology-driven mobility, cleaner energy, and intelligent traffic management systems. "All over the world, technology is transforming transportation. Electric buses, smart ticketing, and cleaner energy are redefining movement and Nigeria has the talent to do the same," he stated.
Experts Diagnose Systemic Challenges
In his keynote address, Prof. Bamidele Badejo, holder of the Lagos State University’s Professorial Chair on Transport Studies, provided a sobering analysis. He identified infrastructure deficit, policy inconsistency, and fragmented regulation as major impediments. He noted that over 90 per cent of passenger and freight movement still depends on roads, while other modes remain underdeveloped.
Despite the bleak picture, Prof. Badejo expressed optimism, suggesting Nigeria could "leapfrog decay" through innovation, similar to the telecommunications revolution. He advocated for an integrated multimodal transport framework that harmonizes road, rail, air, and water systems with sustainable planning and green technology, financed by private sector participation.
Aviation Sector Faces Existential Threat
While the broader transport system struggles, the aviation sector was highlighted as facing a more acute crisis: capital starvation. Experts warned that without affordable access to aircraft and spare parts, local airlines will continue to collapse.
Dr. Alex Nwuba, President of the Aircraft Owners and Pilots Association of Nigeria (AOPAN), argued that Nigerian airlines are not inherently unprofitable but are crippled by a hostile financial environment. He highlighted the punishing 28 to 34 per cent interest rates for domestic borrowing, compared to 1-4 per cent globally. He also noted that aviation fuel alone consumes 40-50 per cent of operating costs, with multiple taxes and charges worsening the plight.
"The real tragedy is that every other service provider in aviation – terminals, ground handlers, fuel marketers- makes a profit, while the airlines that sustain the ecosystem bleed," Nwuba said. Alongside former NCAT Rector Capt. Samuel Caulcrick, he urged the Federal Government to establish a national aircraft leasing company to provide affordable, dollar-denominated financing at single-digit interest rates.
Mrs. Pearl Ngwama, CEO of summit organisers JustAlive Communications Ltd, underscored the sector's importance, noting it contributed 6.53 per cent to Nigeria’s GDP in 2024. She called for deeper investment and the implementation of summit outcomes under President Bola Tinubu’s Renewed Hope Agenda, emphasizing stronger private sector involvement and green mobility adoption. "Transport is the bloodstream of the economy. When it flows freely, the organs of the economy thrive; when it is weak, growth is stunted," she concluded.
