FAAN Rolls Out Cashless Policy, Aims to Block Leakages, Boost Efficiency

The Federal Airports Authority of Nigeria (FAAN) has launched a bold cashless initiative across its airports, projecting that the new system will triple its revenues within a year while reducing leakages and bringing Nigerian aviation closer to global standards.

The policy, known as Operation Go Cashless, was unveiled at a ceremony in Lagos by FAAN’s Managing Director/Chief Executive, Mrs Olubunmi Kuku, who was represented by the Director of Public Affairs and Consumer Protection, Mr Henry Agbebire.

Mrs Kuku said the introduction of the cashless system was a “landmark initiative” that would transform service delivery at the nation’s airports. “Every transaction will now be electronic, traceable, and secure. This is not just good for FAAN, it is good for Nigeria,” she said. “We believe this system will triple our revenue and ensure that every Naira is accounted for.”

The rollout will begin immediately at the Murtala Muhammed International Airport, Lagos, and the Nnamdi Azikiwe International Airport, Abuja, with the eventual goal of extending the policy to all FAAN-operated airports nationwide by the first quarter of 2026.

Cash transactions will be phased out gradually at airport access gates, car parks, and VIP/protocol lounges. To ease the transition, FAAN has introduced the Go Cashless Card, available at access points in Lagos and Abuja, while trained brand ambassadors have been deployed to guide passengers and stakeholders through the new process.

“We understand that change can be challenging,” Mrs Kuku said. “That is why we have taken deliberate steps to make the transition as smooth as possible.”

The Director of Commercial and Business Development, Ms Adebola Agunbiade, who has driven the project for the past ten months, described the policy as a decisive step to modernise Nigerian airports. She said Operation Go Cashless was designed around four core pillars: efficiency, improved passenger experience, accountability, and global alignment.

“From our pilot, we are projecting a 50 per cent increase in revenue collection, rising to 75 per cent as adoption deepens,” Ms Agunbiade explained. “Our target is to triple revenues within one year of full implementation, with additional funds channelled into upgrading airport infrastructure. This is about creating a modern, transparent system that serves passengers and secures the Authority’s financial sustainability.”

She noted that Lagos and Abuja access gates alone handle over 300,000 vehicles monthly, while FAAN’s lounges serve thousands of travellers every year. “We believe service quality will improve remarkably when payments are convenient and transparent,” she said.

FAAN’s technology partner, Paystack, will provide the infrastructure for the cashless system. Its Director of Commerce and Public Sector, Mr Fisayo Kolawole, called the development “historic”, noting that it was the first time such a system was being introduced at airports in Africa.

“This milestone is about speed, ease, and peace of mind for travellers, and about efficiency and accountability for FAAN,” he said. “Every transaction will be backed by PCI DSS certification, encrypted end to end, and protected with multiple layers of fraud monitoring. Nigerians can trust the security of the system.”

Kolawole further highlighted that the project aligns with Paystack’s broader vision of embedding digital payments into critical infrastructure, thereby pushing Nigeria towards a cashless economy.

During a question-and-answer session, stakeholders queried the revenue projections, the categories of airport users covered by the new system, and the measures in place to prevent fraud.

Mr Agbebire responded that the cashless system would close loopholes created by cash handling. “The cash system has been the bane of our revenue collection for years,” he said. “This policy is transparent, traceable, and will triple our revenues. It is part of FAAN’s six strategic pillars this year and we are confident of its success.”

On the timeline, Ms Agunbiade clarified that FAAN would complete the transition to a fully cashless system by the first quarter of 2026. “We are phasing the rollout – starting with a few gates in Lagos and Abuja, then expanding until all revenue points go cashless,” she said.

She added that agencies already using FAAN’s Electronic Toll Access System (ETAS) would continue to do so under the current arrangement, while others would transition to the Go Cashless Card.

Kolawole addressed cyber-security concerns, assuring that Paystack had built multiple layers of security into the system. “We use tokenisation, encryption, machine learning fraud detection, and 3D Secure protocols. We also comply with Central Bank of Nigeria cybersecurity standards and Nigeria’s data protection regulations. Every transaction will leave a comprehensive audit trail, ensuring transparency.”

Mrs Kuku expressed gratitude to President Bola Ahmed Tinubu for his “evergreen interest in the aviation sector” and to the Minister of Aviation and Aerospace Development, Mr Festus Keyamo, SAN, for supporting the reforms.

“With Operation Go Cashless, Nigeria is sending a clear message to the world: our airports are open for business and ready to meet international standards,” she said. “This is a new dawn for FAAN, defined by technology and driven by efficiency.”