Although Nigeria is officially in a recession and its economy has experienced a negative growth throughout 2016, the total number of passengers recorded by the Federal Aviation Authority of Nigeria (FAAN) increased by 6.3% between 2015 and 2016. Low oil prices and fuel shortages due to a militant group destroying oil wells and pipelines in May 2016 have hit Nigeria's economy hard in 2016. Prior to the wave of violence Nigeria had an energy crisis and gasoline shortage, which formed the start of a decline in economic growth. In addition, the security situation related to Boko Haram violent activities worrisome and international travellers are wary of traveling to. This has resulted in a sharp fall in occupancy and average rate took a significant hit, respectively decreasing by 3.4% and 5.1% in 2016. Unfortunately, the introduction of new hotels in the market and the loss of international travellers to domestic tourists added to this negative picture. by 5.2%.