Zenith Bank has joined forces with Ibom Air and Airbus for the closure of commercial financing for Ibom Air’s first A220 aircraft, delivered in November 2023.
This deal, initiated by Airbus, signifies Zenith Bank’s commitment to supporting the aviation sector in Africa. It represents a broader shift that could provide much-needed financial momentum and signal a new era of financial support for the continent’s promising aviation sector.
“At Zenith Bank, we know how important the role financial institutions play in acting as economic enablers,” said Dr Ebenezer Onyeagwu, the Bank’s Group Managing Director.
“We also understand how important the aviation sector is to facilitating economic growth in Nigeria and across the broader African continent. This landmark agreement solidifies our commitment to supporting regional carriers and advancing the landscape of African aviation financing.
Securing adequate funding has been a hurdle for African carriers, as financing conditions for African airlines are generally less favorable compared to other regions.
This has led to challenges in acquiring and executing renewal and expansion initiatives.
The deal aims to address these challenges and foster a sustainable aviation ecosystem, driving positive socio-economic impact in Nigeria and the broader continent.
George Uriesi, Chief Operating Officer of Ibom Air, said aircraft financing is a collaborative and urged banks to play a part in this process.
The synergy between Ibom Air, Zenith Bank, and Airbus aims to position Nigeria at the forefront of the African aviation market, recognizing its high growth potential.
According to the 2023 Airbus Global Market Forecast (GMF), airlines serving Nigeria will require nearly 160 passenger and freight aircraft in the next two decades.
This includes a significant demand for single-aisle and widebody aircraft, such as the A220, A320 families, A330, and A350 families.
