The Airline Operators of Nigeria (AON) has commended President Bola Tinubu over the suspension of the controversial free-on-board levy on all imported goods.

It stated that the levy, if implemented, would have had severe consequences for airlines in Nigeria, leading to higher operating costs.

According to the aviation body, the levy would have further strained an industry already contending with multiple economic challenges.

It, however, said that the suspension was a clear demonstration of Tinubu’s commitment to creating a business-friendly environment, protecting critical sectors of the economy, and promoting sustainable growth.

“This bold and thoughtful intervention will go a long way in safeguarding the aviation sector, protecting jobs, reducing inflationary pressures, and ensuring that Nigeria remains competitive in the global business environment,” the AON said in a statement signed by its President, Abdulmunaf Şarina; and Vice President, Allen Onyema.

“AON reaffirms its commitment to working closely with the government to strengthen the aviation industry and contribute to the realisation of President Tinubu’s vision for economic growth and national development,” the body added.

The AON also lauded [the finance minister] Wale Edun, for his exemplary leadership as a listening minister who has shown deep patriotism and responsiveness by heeding the concerns of stakeholders.

It noted that Edun showed a strong commitment to carrying out the mandate of the president with diligence, sensitivity, and fairness to all sectors of the economy.

The Federal Government had ordered the immediate suspension of the controversial FOB levy on all imported goods.

In a directive issued late on Monday, Edun said that the levy, introduced by the Nigeria Customs Service (NCS) last month, should be suspended to address the concerns raised by businesses.

“Following extensive consultations with industry stakeholders, trade experts, and relevant government officials, it has become clear that the implementation of the four per cent FOB charge poses significant challenges to Nigerian trade facilitation, the business environment, and economic stability,” Edun said in a statement.

The suspension was after importers and business groups had warned that the levy would increase the cost of goods, fuel inflation, and hurt Nigeria’s trade competitiveness at a time when the country was trying to end currency volatility and sluggish growth.