FAAN: Resolution of BASL Imbroglio Show FG Keeps Concession Agreements

Chinedu Eze

The Managing Director of the Federal Airports Authority of Nigeria (FAAN), Olubunmi Kuku, has said that the federal government’s resolution of the impasse over the concession of Murtala Muhammed Airport Terminal Two (MM2) is an indication to future investors that government keeps concession agreements

Kuku also said this will encourage more private investors to partner with government to develop airport infrastructure in the already successful Public-Private Partnership (PPP) arrangement.

Kuku stated this at the just concluded African Air Transport Convention & Expo 2026, held in Lome, Togo.

Speaking as a panellist on the topic: ‘Strategic Direction on Aviation Financing and Infrastructure Development,’ Kuku said while access to capital was important, the success of PPP arrangements depended largely on institutional credibility, regulatory certainty and project discipline.

She noted that many PPP projects in Nigeria had suffered setbacks due to policy inconsistencies, market risks and concerns over project continuity.

According to her, the MMA2 concession, operated by Bi-Courtney Aviation Services Limited (BASL), had remained one of the most publicised concession projects in the country’s aviation industry, regrettably with years of controversies.

She, however, said that the current administration, led by President Bola Tinubu, with the approval of the Federal Executive Council (FEC), undertook extensive negotiations to resolve the issues surrounding the concession agreement.