President Muhammadu Buhari says the recent decision by the Federal Government to remove Value Added Tax (VAT) from domestic air transportation is to make it more attractive and affordable to citizens.
The president said this when he inaugurated the new International Terminal of Port Harcourt Airport, Omagwa, Rivers, on Thursday.
He said getting rid of VAT was also meant to create employment opportunities in the nation’s aviation sector.
The president also explained that the government’s decision to charge zero VAT from domestic air transportation was in line with global aviation best practices.
“This will make air travel more affordable and subsequently lead to the creation of jobs by the air transport service value chain as well as increase revenues for the government.
“Today’s commissioning is an example of Government’s deliberate policy to sustain the development of infrastructure for economic growth in all geopolitical zones of the country,’’ he said.
The president said that the inauguration of the terminal was a response to the global trend in which aviation had become a key part for economic growth as a result of massive movement of people, goods and services in a safe and secure manner.
The president said that his plan was to meet global aviation standards and improved service delivery in line with best practices.
He said that Nigeria had an advantageous central location within the sub-region and its desire to develop into a regional air transportation hub must upgrade its facilities to take advantage of its assets.