By Dickson Omobola
Chartered accountants in the aviation industry have raised concerns over the low use of technology in the sector, saying failure to adopt it in driving the industry will lead to huge revenue losses.
The finance professionals rated the adoption of technology in the sector between 40 and 50 per cent, saying there is a need for increased digitalisation to boost revenue generation and prevent other countries from exploiting Nigeria’s weaknesses.
They spoke at the 1st Year Anniversary Celebration and the Launch of N500 Million Endowment Fund organised by the Institute of Chartered Accountants of Nigeria, ICAN, Aviation Chapter in Lagos.
Speaking at the event, Director Membership affairs of the institute, Alhaji Sakiru Balogun, allayed fears of job losses, saying an aviation professional that is compliant with Artificial Intelligence, AI, would always be employed.
Balogun said: “Before now, the aviation sector operated manually. When I say manual, I mean cash payment to do all transactions. When you rely on cash, efficiency will not be there and it can lead to corruption. I remember when I travelled to London, I did not see any human being doing major things.
“When I needed to get the cards for my load, I had to put my coins in and the card came out. We need to go digital to have overall efficiency because there are usually issues with anything involving human beings. It also leads to the evil that we call corruption. I want to encourage that we digitalise all activities in the aviation sector for efficiency and effectiveness.
“We are moving between 40 and 50 per cent in the level of technology adoption in Nigeria in line with global standards. However, we can do better by further improving digitalisation because what we are doing now is just asking people to use their cards, and not pay cash. However, we must continue to remove human beings from all activities, even for check-in. I also recognise that a lot of our people are still not IT savvy. If I want to travel now, I can check in without going to the airport. But some people still have to queue, put their luggage and so on.
“In this situation, what government needs to do is to educate the masses. The masses need to go digital. Government needs to encourage digitalisation in everything, not even the aviation sector to ensure efficiency and effectiveness. For those who fear that AI will lead us out of job, it is not true. As an accountant, if you learn how to use AI; in fact if you are AI compliant, you will still be in the job. What we need to do as Nigerians is to be IT savvy. Anything IT, anything artificial intelligence will not lead us out of job.”
Also speaking, the pioneer Vice-Chairman of ICAN Aviation Chapter, Dr Bilyaminu Tijjani, described the aviation industry as the gateway to the economy, adding that failure to adopt technology would result in huge revenue losses.
According to the Nigerian Airspace Management, NAMA, staff, low adoption of technology would result in inflows without corresponding returns to the country.
He said: “Adopting technology is necessary for us to get more revenue for Nigeria and not lose to our competitors because other countries are also a gateway, and they give and take. If you don’t know your way, they will analyse your weaknesses and capitalise on them. If we don’t explore technology, the industry and the country at large will lose a lot of economic value. There will just be inflow without corresponding returns to the country. With the current digital transformation, we are bringing awareness, insights, and people to be known.
“There is a need to adopt technology to improve revenue generation and protect the nation and economic growth of the country. We should take advantage of AI. We can do things that will take three days in less than an hour. That is the advantage of technology.
“So, if we fail to adopt it, we also fail to create awareness among users. By users, I mean both internal and external users: staff and customers. If we do not educate them, we will continue to incur losses, and this will be a major setback for the nation.
“With the Renewed Hope Agenda of Mr President, there is a strong push for technological transformation. The Minister of Aviation, Festus Keyamo, has made it mandatory for stakeholders in the aviation industry to adopt these technologies, and efforts are currently ongoing, including enhanced manpower training in technology-related areas.”
Meanwhile, pioneer Chairman of ICAN Aviation Chapter, Samuel Olatiregun, said the N500 million Endowment Fund is not just a financial pool, but a strategic anchor for permanence.
Olatiregun said the fund would shield the chapter from volatility in funding and ensure continuity of programmes.
According to him, it will enable them to pursue initiatives without undue reliance on ad hoc contributions and build an institution that will outlive its founders and current leadership.
He said: “In essence, this fund transforms us from a professional association into a sustainable institution. The fund is designed with clear, long-term objectives, including to fund training, certifications and continuous professional development tailored to aviation finance, audit, risk management and digital transformation.
“The fund is meant for sponsoring research, publications and policy papers that influence national and continental aviation strategy. Another cornerstone project of this fund is the establishment of an aviation library and resource centre, which will be a repository of knowledge, innovation and professional excellence.
“We want to use the fund to support the next generation of aviation finance professionals through scholarships, mentorship and internship pathways.
“Also, to build administrative capacity, governance frameworks, and operational systems that ensure the chapter remains effective, transparent, and impactful.
“This Endowment Fund will be guided by strict principles such as capital preservation. The principal fund remains intact; only returns are utilised. Professional fund management investments will be managed with prudence, diversification and accountability.
“There will also be transparency and strong governance practices, including regular reporting and compliance with global standards, as well as strategic partnerships with industry stakeholders and development partners. Our goal is simple yet profound: to ensure that this fund continues to serve generations yet unborn.”
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