A major shift has emerged in Nigeria’s aviation sector as a new policy takes shape requiring travel agents to pay and receive ticket payments in the Nigerian naira rather than the U.S. dollar. The development follows persistent demands from local travel industry associations for more inclusive currency practices.
According to the National Association of Nigeria Travel Agencies (NANTA), some foreign airlines operating in Nigeria still insist on selling tickets and collecting payments exclusively in dollars, a practice they say excludes about 70 % of qualified local agents NANTA President Yinka Folami explained that with improved foreign-exchange liquidity and government reforms, there is no longer justification for dollar-only transactions. The directive draws on legal backing. Under Section 20(5) of the Central Bank of Nigeria (CBN) Act, the naira is legal tender for all domestic transactions and refusal to accept it may constitute an offence.More specifically for aviation, the Nigeria Civil Aviation Authority (NCAA) cites legislation requiring that fares, charges and tariffs “in the first instance” be denominated in the local currency.
Travel agents say the currency-shift rule is long overdue. For years, agents have struggled as dollar-only ticketing created technical and financial burdens. Many local practitioners lacked access to foreign-currency payment channels and became excluded from issuing tickets for international carriers. With the new emphasis on “pay in local currency,” more agents hope to gain direct access to airline inventory, reduce foreign-exchange risk and improve competitiveness in the domestic travel market.
On the airline side, some foreign carriers have defended their dollar-only pricing model by pointing to repatriation barriers, blocked funds and exchange-rate volatility. But the government’s stance appears firm: local transactions should be denominated in naira unless specific exceptions apply. Airlines are being urged to adjust booking platforms, price displays and payment gateways to align with local-currency requirements.
For travellers and agents alike the changes could bring greater transparency. Payment in naira means fewer hidden costs from currency conversion, and local agents can potentially provide more competitive fares. The sector now watches how enforcement of the policy proceeds, how airlines adapt and whether the rule will fully open the way for agents to transact comfortably in Nigeria’s market.
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