Understanding Hajj Cost Computation and the Challenge of Rising Fare 

by admin

By: Aminu Ibrahim Isma’ila

(Makaman Dokan Zazzau)

Hajj is fundamental to Islam and a very important pillar, Allah (SWT) has enjoined all Muslims to perform Hajj at least once in a lifetime.

The annual event has a time frame within which it is expected to be carried out, in the month of Dhul Hajj which is the 12th Month of the Islamic Calendar. Therefore, in answering this call, Muslims have committed a lot of resources annually to travel to the Holy Land of Makkah to perform Hajj.

The cost of the annual Muslim pilgrimage to the Holy land of Makkah has skyrocketed astronomically over ten years from just over N1.5 million in 2014 to over N8.4 million in 2024 and is likely to rise again by 2025 to over N10 Million. The rising cost was due mainly to the falling value of the Naira and the gradual withdrawal of the government concessionary exchange rate and likely 100% withdrawal in 2025 as announced by the National Hajj Commission of Nigeria (NAHCON).

The rising cost of Hajj has serious consequences on the performance of the annual rites. The number of persons willing or wishing to go to Makkah to perform the important pillar of Islam might likely drop. This has accurately corresponded with a Prophetic Hadith that advised the Muslims to hasten the performance of Hajj provided they have the opportunity before they are prevented or denied. 

Al-Shu’bah said the Prophet (SAW) “The Hour will not be established until no one performs the Hajj”- Sahih Al-Bukhari 1516.

The denial as envisaged by the Prophet (SAW) was not only physical but speaking metaphorically, the denial could be by any means. For example, most recently the annual hajj was suspended for two years (2020 & 2021) due to the Corona Virus Pandemic and now the economic depression which has affected not only Nigeria but Worldwide. 

Components of Hajj Fare- Hajj costs components consist of about 24 line items as follows: 

S/NITEMSCURRENCYAPPROXIMATE PRICEEXCHANGE RATENAIRA EQUIVALENT
1Accommodation- MakkahSR converted to Dollar   
2Accommodation- MedinahSR converted to Dollar   
3Air Ticket to & froSR converted to Dollar   
4Tent C Facilities- MinaSR converted to Dollar   
5Tent- ArafatSR converted to Dollar   
6United Transport AgencySR converted to Dollar   
7Mu’assasah- Service providerSR converted to Dollar   
8Feeding- Madinah,SR converted to Dollar   
9Feeding- Makkah,SR converted to Dollar   
10Feeding- Masha’er,SR converted to Dollar   
11Feeding- ArafatSR converted to Dollar   
12Feeding- AirportSR converted to Dollar   
13Basic Travelling AllowanceSR converted to Dollar   
14RoyaltySR converted to Dollar   
15Tent Security depositSR converted to Dollar   
16Bags- SuitcasesSR converted to Dollar   
17CBN ChargesIn Dollar   
18Registration FormNaira   
19ID CardNaira   
20Yellow CardNaira   
21Pilgrims’ UniformNaira   
22Pilgrims’ enlightenmentNaira   
23Local transportationNaira   
24Administrative chargesNaira   

NAHCON Website

                                                      COST OF AIR FARE

S/NYEARTICKET PRICE
12010$1500 (N)- $1550 (S)
22011$1600 (N)- $1650 (S)
32012$1700 (N)- $1750 (S)
42013$1700 (N)- $1750 (S)
52014$1700 (N)- $1750 (S)
62015$1700 (N)- $1750 (S)
72016$1700 (N)- $1750 (S)
82017$1650(N)- $1700 (S)
92018$1650(N)- $1700 (S)
102019$1650(N)- $1700 (S)
112020No Hajj due to COVID 19
122021No Hajj due to COVID 19
132022$1700 (N)- $1750 (S)
142023$1700 (N)- $1750 (S)
152024$1700 (N)- $1750 (S)

NAHCON Website

Conclusion and Recommendation

Flowing from the above, it should be understood that, over 95% of the Hajj costs components are dollar domiciled ie payable in dollars thus the consequential effects of the exchange rate. The dollar components are uncontrollable costs either by NAHCON or the Nigerian Government. Therefore, there is nothing anybody can do about it. However, alternative cost-saving measures could be looked into such as: 

  1. Review of Pilgrim’s Accommodation- An important component of hajj fare is pilgrims’ accommodation in Makkah and Madinah and the price is determined by factors such as availability, quality, the number of persons per room and proximity to the two Holy Mosques. Therefore, the closer to the mosques, the higher the price. Towards this end, since hajj is not a luxury activity or holidaying, NAHCON in collaboration with the state pilgrims Welfare Boards may wish to consider alternative suitable accommodations at reasonable prices: –
  1. Makkah Accommodation- Instead of the current accommodation at SR 4,000, NAHCON & the States Pilgrims Agencies should look for Low-cost accommodation ranging from SR 2,500 to SR 3,000. This will result in cost savings of between SR 1,000 to SR 1,500 which translates into about %270- $400.
    1. Madinah Accommodation- Instead of the current Five Star Hotel accommodation in Madinah which costs about $500 for 8 days, NAHCON in collaboration with the States Pilgrims Agency should revert back to the previous accommodation arrangement which costs much less ie from the current price of about $500 for 8 days to say $100 for four days. Another saving of $400.
  • Increasing the number of pilgrims per room to say 7-8 will further reduce the number of houses to be hired thus the cost, 
  • The government should re-consider its position on granting reasonable concessionary exchange rates, the religious issue is not a business activity and is performed only once a year and for the majority in a lifetime,
  • Feeding arrangement- NAHCON and State Pilgrims Agencies should re-negotiate the current feeding arrangement which costs SR 15 per meal twice in a day ie SR 30 per day for 35 days including 5 day stay in Masha’er totalling SR 2,100 which translates into $560 at the rate of SR3.75 to a Dollar, pilgrims should either be allowed to eat at their convenience or negotiate a reduced price of between SR 8 to SR 10 per meal,
  • NAHCON should request for the waiver of the Central Bank of Nigeria transaction charge, 
  • Air Fare- the cost of Airfare has remained reasonability constant over a long period at between $1,600- $1,750, however, can still be renegotiated to say $ 1,500 due to the volume of the passengers,
  •  NAHCON should request for the waiver of the newly introduced (about 2 years ago) 10% Valve Added Tax on services by the Saudi Arabian Government noting Hajj is a religious obligation, not a profit-making venture, 
  • The resultant effect of the above suggestions could result in a cost saving of between $1,300 to $1,500 translated into Naira at say the exchange rate of N1,700 to a Dollar to N2,210,000 to N2,550,000 and, assuming the Federal Government decided to offer a reduced concessionary rate of say N1,400 which will further bring down the fare.  

Wassalamu Alaikum Warahmatullah

By: Aminu Ibrahim Isma’ila

Makaman Dokan Zazzau

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