Olubunmi Kuku, Managing Director of FAAN, has reaffirmed the agency’s decision to fully implement a cashless payment system across all airport payment points nationwide, effective February 28, 2026.
The clarification followed a visit by executives of the National Union of Air Transport Employees (NUATE), who sought further details on the planned discontinuation of physical cash transactions at airports.
According to FAAN, the move aligns with:
- Federal Government directives aimed at strengthening transparency and accountability
- A Treasury Circular issued on November 24, 2025, by the Office of the Accountant-General of the Federation
- Global best practices in aviation management
Mrs. Kuku stated clearly: “There is no going back on this decision.”
The reform is part of a broader public finance restructuring approved by the Federal Executive Council, requiring Ministries, Departments, and Agencies (MDAs) to discontinue physical cash collections and payments.
FAAN says the transition will deliver:
- Reduction in revenue leakages
- Improved transaction traceability
- Faster service delivery
- Greater operational integrity
- Increased public confidence in airport operations
The agency also described the reform as a major step in modernising Nigeria’s airport management systems.
Addressing concerns about the use of Paystack as a third-party platform, FAAN explained that:
- Paystack functions only as a payment gateway
- No revenue is held in Paystack accounts
- All payments made through PoS terminals go directly into designated Federal Government accounts
FAAN emphasised that the engagement with NUATE reflects its open-door policy and commitment to inclusive consultation. Union representatives reportedly expressed satisfaction with the explanations provided and acknowledged that the implementation framework is practical.
The agency described the cashless transition as another milestone in its ongoing reform agenda, aimed at improving accountability, efficiency, and collaboration across Nigeria’s aviation sector.
