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Akanu Ibiam International Airport Enugu, A Viable Investment by ARROBA(m): 5:33am On Jan 28, 2011
Introduction: The purpose of this paper is to inform potential investors about the viability of the new, improved and upgraded Akanu Ibiam International Airport in Enugu, Enugu State of Nigeria.

Salient points discussed in this paper include the size and location of the airport, the demographics of the area, the
intended population for the service of the airport, the socio-economic amenities and opportunities within the airport city and its environs and the untapped resources the airport would provide. The ultimate expectation is that this paper will inspire a feasibility study aimed at providing proper guidance and awareness to any future potential investors, particularly those in the airline industry, to consider utilizing the Akanu Ibiam International Airport, as a gateway to the fertile soil of unlimited opportunities in the South-East Nigeria.

SIZE, DEMOGRAPHICS AND POPULATION:

Enugu is the capital of Enugu state in Nigeria. It is located in the Southeastern Area of Nigeria and is largely populated by members of the Igbo ethnic group. The city has a population of 722,664 according to the 2006 Nigerian census. In 1900 the Southern Nigeria Protectorate was established by the colonial administration of the British Empire. The discovery of coal by the colonialists led to the building of the Eastern Line railway to carry coal from the inland city to the port of Port Harcourt, a city created for this purpose located 151 miles (243 km) south of what was called Enugu Coal Camp. Enugu Coal Camp was then renamed simply Enugu and developed among the few cities in West Africa that were created from European contact.

Enugu became the capital of the Eastern Region after Nigeria's independence in 1960. A succession of territory adjustments in 1967, 1976 and 1991 led to Enugu becoming the capital of what is now Enugu State. On 30 May 1967 Enugu was declared the capital of the short-lived Republic of Biafra; for this Enugu is known as the "capital of Igboland."  Industries currently in the city include the Innoson Technical and Industrial Co. Ltd, Urban Market and Bottling Industries. Enugu has become a preferred filming location for directors of the Nigerian movie industry, dubbed as "Nollywood". Enugu's main airport is the Akanu Ibiam International Airport which has been upgraded to accommodate large aircrafts. The main educational establishments in the city are the Enugu campus of the University of Nigeria based in Nsukka, a town north of Enugu and in the same state, Enugu State University of Technology (ESUT), and the Institute of Management and Technology (IMT), a four-year college. There are a few other territory institutions and numerous K -12 primary and secondary schools. Enugu continues to serve as one of the most prominent towns in Southeastern Nigeria.

THE SERVICE AREAS AND MARKET SHARE FOR THE AIRLINE INDUSTRY:
The newly improved Akanu Ibiam International Airport will serve the entire people of Southeast andSouth-south Nigeria, including the oil-rich Niger Delta areas. The centralized location of Enugu town will make it possible for people commuting to the Middle Belt areas in the North Central zone which includes part of Northern Nigeria to utilize the airport. The estimated population residing in these areas is over 50 million Nigerians. Besides the centralized location of Enugu, the city is known for its well organized and highly structured infrastructural development. Unlike most Nigerian cities and towns, Enugu, a beneficiary of the British colonial infrastructural development in West Africa, is well planned with roads, streets, and signs carefully labeled, illuminated with electricity and houses clearly numbered for easy identification. It has most of the amenities of a modern city with clean streets, Four – five star hotels, several hospitals, world accredited universities, recreation parks, golf courses, and exclusive suburbs including the Government Reservation Quarters (GRAs). The common saying among Ndi-Igbo, the dominant ethnic group in the southeastern area of Nigeria, is that all the “Who is who” in the region owns a home in Enugu because of its security and family-oriented neighborhoods.

DESCRIPTION OF THE ENTREPRENEURIAL SPIRIT OF NDI-IGBO AND THE CULTURE-INDUCED HABIT OF ENGAGING IN WORLDWIDE TRAVEL BY NDI-IGBO:
Ndi-Igbo are known for their entrepreneurial spirit. They constitute a majority of the businessmen and women in Nigeria at large. Over 60% of traders in Nigeria are from Igbo extraction.  Ndi-Igbo travel a lot and they travel more than any other group in Africa. Their businesses take them all over the globe and an international airport at Enugu is what an average Igbo person has been waiting for. It is evident that Ndi-Igbo and their neighbors in Southeast and South-south Nigeria have the economic powers and viable business opportunities to sustain an international airline route to Enugu.
Ndi-Igbo are known for their insatiable appetite for traveling and exploring. They like to visit places and explore the opportunities at those places. It is also cultural and customary to discuss important issues and convey certain ideas in person hence the necessity to meet face to face for business transactions and long term relationships. It is a proven fact that about 50% of Nigerians who travel by air or utilize the services of the aviation industry to and from Nigeria are Ndi-Igbo. The custom of Ndi-Igbo also compel them to visit Igbo-land (their respective towns of origin) to spend their holidays during any Christian religious celebrations, such as Easter and Christmas. Ndi-Igbo are predominantly Christians, who usually schedule marriage ceremonies, weddings, thanksgiving ceremonies, and family and town re-unions during Easter and Christmas periods. The new international airport at Enugu will go a long way to alleviate the untold hardships Ndi-Igbo experienced during their numerous trips to Igbo-land.
Families of the Southeast Nigeria, flying into Nigeria from Europe, North America, and other parts of the world, are often stranded and frustrated for days in Lagos, Abuja, and Kano airports because of the limited number of local flights to Southeast - their destination. While stranded, some will check into hotels, waiting for available local flights, and others will decide to complete their trip by bus. Those waiting for available local flights often spend over $1,000 in hotel bills, and meals, while those who decide to travel by bus are often targeted by vicious highway armed robbers. Quite frequently, some of these highway robberies end in tragic loss of lives.

Igbo-land and the surrounding areas are the most densely populated areas in Africa. The Igbo ethnic group is also the largest ethnic group in Africa. It is clear that big cities in Nigeria are densely populated and alarmingly overcrowded, and a part of this over-crowdedness is a general lack of careful city planning. Extension of international airports to various major geographical areas in Nigeria, particularly the city of Enugu, is one way to limit these man-made "concentration camps" in several Nigerian big cities. Accordingly, the establishment of an international airport in Enugu to attend to the needs of the travelers to and from the Southeast zone will substantially lessen such over-crowdedness, and make places such as Lagos and Abuja function more efficiently. It must be stressed that the presence of an international airport in Enugu is a win-win proposition for all the interested parties. And any airline that establishes an international route to Enugu Nigeria will reap its economic benefits within the shortest possible time.

ECONOMIC IMPACT FOR THE AIRLINE INDUSTRY:
Any airline that goes to Enugu will succeed in the shortest possible time because of the substantial market share. It is on record that Southeast zone has the economic power to sustain at least one international airport. According to Dr Osita Ogbu, the Chairman of National Planning Commission (NPC) and Chief Economic Adviser to the former President Obasanjo, "the Southeast stands as the richest zone among all the six geo-political zones in Nigeria." For details, see Vanguard, October 09, 2006.
About seven million Ndi-Igbo leave outside Nigeria in almost every country in this world and they definitely travel back home at least once every two years with most traveling yearly to their homeland. The potential Diaspora travel use of Akanu Ibiam International airport is estimated at about 2-3million travelers per year not including the local people who travel abroad which is at least another 3 million.  It is important to emphasize that several states and their citizens stand to gain substantially when Akanu Ibiam International Airport becomes fully operational in the Southeast. Clearly, Akanu Ibiam International Airport is closer to several parts of the following states: Abia, Anambra, Benue, Delta, Ebonyi, Edo, Enugu, Imo, and Kogi states. As such, international passengers to these states will find Akanu Ibiam Airport indispensable, as the costs associated with travelling to their destinations through Lagos or Kano will be eliminated.

It is crucial to note that the Southeast Nigeria, with Enugu as its headquarters as well as its center in terms of geographical location, is the home to the first, third, fourth and fifth largest markets and commercial centers in Africa. The famous Onitsha Market in the city of Onitsha, which is 85.22kilometers away from Enugu, is the largest market in Africa. It attracts a daily visit of over 200,000 people with the visitors coming from each of the 36 states in Nigeria, and neighboring countries, including Ghana, Cameroun, Ivory Coast, Togo, Chad, Senegal, Niger and other countries in West African sub-continent.

Other important markets that will support the viability and boost the economic benefits of Akanu Ibiam International Airport include Nnewi Market at Nkwo Nnewi - the automobile center of West Africa, Ariari Market at Aba, Ogbate Market in Enugu, Kenyatta Market in Enugu, and Eke Market in Ekwulobia. The Auto spare parts market at Nkwo Nnewi stands out as the largest automobile and motorcycle spare parts market in Africa. Nnewi is known as the Detroit of Africa because it has the highest concentration of auto manufacturing and assembling plants in Africa. Similar to Onitsha, Nnewi is 80.45 kilometers away from Enugu.

A large number of Igbo businessmen and women deal on motor spare parts and most of them come to Nnewi to obtain their merchandise. This means that most spare parts business people who reside in various parts of Nigeria, from Lagos in the West to Kano in the North travel to Nnewi to obtain their merchandise. Akanu Ibiam International Airport will also become the landing port for others from all the African countries that visit Nnewi for automobile business. Currently, they must go through Lagos or Abuja before taking a local flight to Enugu. A direct international flight to Enugu will save time and money – the bottom-line for any business decision.

THE ECONOMIC BENEFIT OF A FULLY FUNCTIONAL INTERNATIONAL AIRPORT IN ENUGU

Nigeria as currently constituted is operating a six zonal structure. Each zone is expected to be a semi autonomous economic zone that will make the center strong. Ndi-Igbo are mercantile people and are always travelling all over the world in search of business opportunities. Lagos is home to millions of Ndi-Igbo because it has a well-developed international airport and seaport. Abuja and Kano are home to Ndi-Igbo because they have fully functional international airports. Port-Harcourt international airport attracts a lot of Igbo businessmen and women. Businessmen and women in the South East have to travel to Lagos, Port Harcourt, Abuja, Kano or Kaduna to be able to fly out of the country for business or pleasure. This situation has created enormous hardship for the people of the South East.

THE ECONOMIC BENEFITS TO NIGERIA AND SOUTH EAST ARE AS FOLLOWS:
INCREASED INVESTMENT IN THE ZONE

When fully operational the international airport will spur investments in the building of ultra-modern hotels, restaurants, transportation, and other sectors of the service industry. In addition to major service sector investments, the international airport will spur investments in small-scale businesses such as laundry, food, vehicle mechanics, taxis and other similar small-scale industries.

INCREASED ECONOMIC AND EMPLOYMENT ACTIVITIES IN THE ZONE:

With the increase in investments in hotels, restaurants, transportation and other service sectors as well as increase in small scale businesses leads to increase in employment. Increase in employment will increase the purchasing power of the zone, which will in turn increase the economic activities. The increase in hotels will spur investment in laundry business because of more linen that will be used by the additional hotels. The increase in restaurants will spur investments in food packaging and processing businesses, which in turn will generate employment opportunities. The increase in economic activities and employment will increase the demand for banking and financial services. The multiplier effect from making the Enugu Airport an international airport will go a long way to augment the development effort of the federal government.

INCREASE IN TOURISM IN THE ZONE:

In many countries of the world tourism is a source of foreign exchange earner. Even the USA, an advanced economy, spends a lot of money annually advertising all over the world for tourists to come and visit USA. The new international airport in Enugu will open up the zone to international tourists, which will in turn bring in the much desired foreign exchange earnings.

NATIONAL SECURITY ISSUE:

From a national security point of view, an economy that is concentrated in a few locations poses a very great risk to a country. If there was a war from outside the country or natural disaster in that area, the economic consequences would be too much to bear. In addition, developing airports that are capable of accommodating large airplanes will be beneficial to the country especially in times of emergency. If for any reason an international flight cannot land in Abuja, Enugu airport, which is an hour flight away, can serve as an alternative-landing site.
CONCLUSION:

The economic benefits from the improved and upgraded Akanu Ibiam International Airport Enugu are enormous. The airport is a gold mine waiting to be explored and ready for immediate financial dividends within the shortest amount of time. Enugu as a city doubles as the capital city of Enugu State and the socio-political headquarters of the entire Southeast Nigeria. It is a very safe city in which every Igbo indigene would desire to live and invest. It harbors the moral values of the Ndi-Igbo and provides the authentic hospitality Ndi-Igbo are known for. Any airline that commences an international route to Enugu Airport will experience a huge success within the shortest amount of time.
On behalf of our constituent entities, the Igbo World Assembly (IWA) respectfully welcomes any respectable and competent airline that will agree to fly to Akanu Ibiam International Airport Enugu, Enugu State Nigeria.  The Igbo World Assembly (IWA) is the Umbrella Organisation that represents the Apex National Organizations (outside Nigeria)  in the various countries  of  the world such as USA, UK, France, Spain, Finland, Netherland, Ireland, Germany, Switzerland, South Africa, Russia, Australia, Denmark, Japan, Italy, Russia, Ukraine,  Sweden and Canada. The Igbo World Assembly (IWA) works very closely and recognizes Ohaneze Ndigbo as the mouth piece of Ndi-Igbo World Wide.
                                             
                   
                                   Amadiebube  Mbama
                             DSG, IWA Economic Institute



Dr. Nwachukwu Anakwenze                                                                   Chief Oliver Nwankwor
IWA Chairman (U.S.A)                                                                             IWA Secretary General (Netherlands)
IMPORTANT IWA CONTACT PHONE NUMBERS AND EMAIL ADDRESSES
Dr Nwachukwu Anakwenze   E-mail: anak@verizon.net This e-mail address is being protected from spambots. You need JavaScript enabled to view it Ph: 310-993-8053/ 310-544-2711 (USA)
IWA Chairman, Ex-Presiding Officer CISA
Chief Oliver Nwankwor    E-mail:   olinwankwor@yahoo.com This e-mail address is being protected from spambots. You need JavaScript enabled to view it  Ph: +31 622450443 (Netherland)
Secretary General, Igbo World Assembly (IWA). President Ohaneze Netherlands
Chief Christain Onuora     E-mail: enyianam@yahoo.co.uk This e-mail address is being protected from spambots. You need JavaScript enabled to view it  Ph: +447931268905,
Vice Chairman of Igbo World Assembly (IWA) Ex-Leader CIC, UK
Mazi  Amadiebube  Mbama      DSG  IWA  Economic Institute; E-mailamadiebube@yahoo.com This e-mail address is being protected from spambots. You need JavaScript enabled to view it


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