LAGOS — The Federal Airports Authority of Nigeria (FAAN) has adopted a hybrid payment system at key airport access points, allowing both cash and contactless payments, after the agency’s cashless policy triggered traffic chaos for travellers and commuters in Lagos and Abuja. FAAN Managing Director, Mrs Olubunmi Kuku, disclosed this in an interview, saying President Bola Tinubu intervened after the March 1 enforcement of the cashless directive caused bottlenecks around airport corridors, particularly in Lagos.
Kuku said FAAN introduced the cashless policy in July 2025 and intensified it in October, following two Federal Government circulars directing the reduction of cash transactions. She said enforcement began March 1, but many commuters did not expect full implementation, leading to gridlock in the first days. She attributed the disruption largely to the unique environment around the Lagos airport, where traffic includes not only airport-bound passengers but also commuters using airport roads to access surrounding areas such as Ikeja, Oshodi and Isolo, as well as travellers moving between international and domestic terminals. She said Abuja traffic is more airport-focused, making congestion less severe there.
Kuku said FAAN registered about 100,000 customers on its payment system, noting that 62,000 registrations were recorded in the final three days before enforcement, reflecting late adoption and contributing to initial delays. She said Tinubu directed FAAN to ensure a seamless process and the Federal Executive Council granted a waiver to operate a hybrid model pending improvements in infrastructure and payment channels. Under the model, FAAN will continue using contactless cards while cash payments remain temporarily allowed to ease movement.
Kuku also said FAAN is pursuing plans to reposition Nigeria’s international airports as regional hubs, stressing that a hub requires efficient transit facilities that allow passengers to connect onward without making Nigeria their final destination. She said transit is currently difficult because Nigerian airports lack dedicated transit infrastructure, adding that rehabilitation works underway are expected to address the gap. On the rehabilitation of the Old Terminal at the Murtala Muhammed International Airport (MMIA), she said a recent fire incident caused only a minor setback of about two days, mainly affecting technology being moved, but did not alter the project timeline.
Kuku said FAAN’s 22 to 24 months renovation timeframe remains in place, adding that a temporary terminal has been activated, with Middle East Airlines, Air France, KLM and Ethiopian Airlines already operating from the facility. She said traffic-flow improvements, including alternative routes and a newly constructed bridge, form part of the broader rehabilitation plan.
