President Bola Ahmed Tinubu has ordered the suspension of the recently introduced cashless payment system at Nigerian airports following concerns that its implementation has caused severe traffic gridlock and hardship for travellers.
The Minister of Aviation and Aerospace Development, Festus Keyamo, disclosed this while briefing journalists at the State House, Abuja, after the Federal Executive Council (FEC) meeting presided over by the President.
Keyamo said the directive followed reports that the newly introduced system at toll gates and other payment points around airports had led to long queues, causing many passengers to miss their flights.
He explained that the cashless system was initially introduced by the Federal Airports Authority of Nigeria (FAAN) to eliminate corruption and improve revenue collection for the Federal Government, replacing a decades-old practice of cash payments.
“The first one has to do with the present cashless system we introduced at our toll gates across the country in order to eliminate corruption and optimise revenue for the Federal Government,” the minister said.
You recall that this practice had gone on for more than 50 years where operators of the toll gates collect cash from motorists at points of collection across the country, mostly at toll gates and other points like parking lots.”
So Mr President, out of empathy, directed today that we should suspend the present system because it creates a lot of gridlock and Nigerians are suffering as a result of it”, Keyamo said.
He said the President instructed the ministry and FAAN to revert temporarily to the previous payment arrangement while officials work on a more efficient electronic solution.
Keyamo explained that the government would implement a temporary hybrid arrangement allowing both cash payments and the use of prepaid FAAN cards already purchased by some motorists.
Keyamo noted that Tinubu remains committed to a fully electronic system for revenue collection at airports but insisted that the new arrangement must not create the kind of congestion currently experienced.
“To the extent that it will not create the gridlock that we are having right now,” he said.
He further revealed that the government may allow private operators to manage the electronic payment system and collect revenues on behalf of the Federal Government, even if it requires paying commissions.
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