{"id":362567,"date":"2025-08-16T12:08:38","date_gmt":"2025-08-16T11:08:38","guid":{"rendered":"https:\/\/www.withinnigeria.com\/news\/?p=362567"},"modified":"2025-08-16T12:08:38","modified_gmt":"2025-08-16T11:08:38","slug":"why-nigerian-banks-dont-like-lending-to-airline-companies-air-peace-ceo-onyema","status":"publish","type":"post","link":"https:\/\/www.withinnigeria.com\/news\/2025\/08\/16\/why-nigerian-banks-dont-like-lending-to-airline-companies-air-peace-ceo-onyema\/","title":{"rendered":"Why Nigerian banks don&#8217;t like lending to airline companies \u2013 Air Peace CEO, Onyema"},"content":{"rendered":"<ul>\n<li><strong>He disclosed that the inappropriate actions and unwise financial decisions of some of the debtors have led to the liquidation and collapse of some of the banks<\/strong><\/li>\n<\/ul>\n<hr \/>\n<p>Chief Executive Officer of Nigeria\u2019s largest flag carrier, Air Peace, <a href=\"https:\/\/www.withinnigeria.com\/news\/2025\/08\/16\/air-peace-ceo-onyema-reveals-biggest-albatross-to-nigerian-aviation-sector\/\">Allen Onyema<\/a>, says access to funding is a major challenge that is mitigating against the growth of the nation&#8217;s aviation sector.<\/p>\n<p>According to him, high interest rates, Nigeria&#8217;s banking system and lenders&#8217; distrust of airline operators also compounded the problem.<\/p>\n<p>Onyema disclosed that Nigerian banks attach stringent, burdensome and cutthroat conditions to loans for airline owners, which further worsen the challenges that come with operating in a harsh business environment like Nigeria.<\/p>\n<p>He spoke at the 29th Annual Conference of the League of Airport and Aviation Correspondents themed: \u2018Financing Aviation in Nigeria: Risks, Opportunities and Prospects,\u2019 recently held in Lagos.<\/p>\n<p>He cited the lack of integrity among some airline operators and their refusal to pay back loans given to them by banks as reasons why commercial financial institutions are reluctant to lend money to airline owners.<\/p>\n<p>He disclosed that the inappropriate actions and unwise financial decisions of some of the debtors have led to the liquidation and collapse of some of the banks.<\/p>\n<p>He said, \u201cThe problem in this part of the world is a lack of integrity. If not, why would banks ask us to bring our great-grandmother, all our landed properties, before they can lend us money? It is because in the past, some people took money from the banks, leading to the banks\u2019 collapse because they failed to pay back. We come from a part of the world where people do not regard money from banks. They think it is nobody\u2019s money, thereby squandering it. When you take money and direct it into other things than what you borrowed the money for, there are bound to be problems.&#8221;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>He disclosed that the inappropriate actions and unwise financial decisions of some of the debtors have led to the liquidation and collapse of some of the banks Chief Executive Officer of Nigeria\u2019s largest flag carrier, Air Peace, Allen Onyema, says access to funding is a major challenge that is mitigating against the growth of the 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