United Nigeria Airlines has raised ₦22 billion from investors through its first issue of commercial paper, a form of short-term debt12. The airline had aimed for ₦20 billion. Demand exceeded that target, so it upsized the issue by 10% to ₦22 billion. It returned the rest to investors whose orders could not be filled in full17. At the Central Bank of Nigeria rate of 30 October 2026, the last business day before the result was announced, ₦22 billion is worth about $16.3 million3. The notes are the first tranche of a ₦100 billion commercial paper programme1.

What "first airline commercial paper" means

The claim is a national one. Rasaki Salawu, managing director of Meristem Capital, the lead issuing house, called it "the first commercial paper issuance by an airline in Nigeria"1. When the offer was launched in October, the airline described itself as set to become "the first domestic operator to issue commercial paper"4. Nairametrics reported it as the first domestic airline in Nigeria to tap the short-term debt market5. None of these claims a first for Africa.

Commercial paper lets a company borrow directly from investors for up to a year instead of taking a bank loan5. United Nigeria sold two series, one running 270 days and one running 364 days1. According to the offer details reported by Invest Data, Series 1 carried a discount rate of 18.5498% and an implied yield of 21.5000%. Series 2 carried 19.0383% and 23.5%6. Those rates sit below the average Nigerian commercial paper discount rate of 22.38% in 2025, which Nairametrics compiled from FMDQ data57. The airline itself has not published the pricing in its statements14.

Meristem led the deal. Cordros Advisory Services, Coronation Merchant Bank, FCMB Capital Markets, FSL Advisory and Quantum Zenith Capital & Investments acted as dealers4. Agusto & Co. rated the airline A3 for the short term and BBB- for the long term with a stable outlook. DataPro gave A1 and BBB1. Buyers included asset managers, insurance companies and high-net-worth individuals1. Meristem said the excess demand was more than ₦5 billion1.

Where the money goes

The two parties describe the use of the money differently. Managing director Mazi Osita Okonkwo said "the proceeds will support fleet expansion and operations"1. Meristem said the issue "will support the company's working capital needs"1. The offer details reported by Invest Data name short-term working capital needs and funding requirements6. The statements do not split the ₦22 billion between aircraft and day-to-day costs.

The figures behind the offer come from an investor presentation dated September 20264. Revenue grew from ₦10.3 billion in 2021 to ₦90.8 billion in 2025. Profit after tax rose from ₦1.3 billion to ₦23.8 billion over the same years4. The airline reported revenue of ₦95.6 billion in the first half of 20264. In August, turnover rose to ₦19.4 billion from ₦14.1 billion in July, while the airline returned to a net profit of ₦1.2 billion4. Premium Times noted that the credit ratings do not guarantee repayment8.

Fleet and network

United Nigeria flies 10 aircraft of four types: Embraer ERJ-145, Boeing 737-800, Embraer E190 and Bombardier CRJ9004. Invest Data reports that the fleet includes both owned aircraft and aircraft on ACMI wet lease6. The airline plans to take six more aircraft before the end of 2026, which would bring the fleet to 16 if deliveries go as planned57. It serves 14 destinations across Nigeria and Ghana1. Regional flights to Accra began in November 2025, according to Invest Data, which also lists the acquisition of two 737-800s as part of the next phase of growth6.

The airline holds approvals to operate as a flag carrier to six international destinations1. Invest Data lists them as the United Kingdom, the United States, Canada, Turkey, Italy and the Netherlands, subject to regulatory approval6. United Nigeria has been an IOSA-certified operator and an IATA member since 2022. It is a full member of the African Airlines Association. In 2026 it signed the IATA Multilateral Interline Traffic Agreement plus distribution deals with Amadeus and Sabre19.

Why Nigerian airlines look beyond banks

Bank credit is expensive for Nigerian carriers. In June 2026, Allen Onyema, vice-president of the Airline Operators of Nigeria, put airline borrowing rates at between 29 and 33 per cent10. He said Jet A1 had risen from about ₦900 to as high as ₦3,300 per litre in recent months, forcing operators to borrow heavily just to buy fuel10. He added that more than 70 airlines have shut down in Nigeria over time10.

The same month, at a ceremony in Lagos unveiling two newly acquired Boeing 737-800s, Boeing's executive sales director for Africa, Moore Ibekwe Jr., said Nigerian airlines face funding constraints compared with foreign carriers that can borrow at single-digit rates11. He said Africa needs about 12,000 aircraft to meet demand11. United Nigeria chairman Prof. Obiora Okonkwo, who also spoke, cited IATA and said Nigeria is one of the most expensive places for airlines to operate11. Nigerian companies as a whole raised ₦1.61 trillion through commercial paper in 2025, up 40% from ₦1.15 trillion in 20247.

What it means for pilots

Neither the airline nor the issuing house has linked this deal to pilot hiring14. What the sources do show is the type mix pilots would fly. In January 2026, training provider CPaT Global agreed to supply United Nigeria with its ERJ145 course and a new B737-800 aircraft systems course for its pilot training programmes12. The airline is headquartered in Enugu12. Our United Nigeria Airlines page covers its pilot selection. How a type rating works explains what a move between the ERJ, E190, CRJ900 and 737 involves. For training at home, see flight schools in Nigeria.