Africa’s richest man, Aliko Dangote, has disclosed that his business conglomerates have invested over $25 billion in key sectors such as oil and gas, cement, and sugar in Nigeria over the past seven years.
This significant financial commitment, which is seen as a reflection of Dangote’s confidence in Nigeria and, by extension, Africa as a viable investment destination, was disclosed by him while speaking on the sidelines of the recently concluded 79th United Nations General Assembly (UNGA 79) in the U.S.
The business tycoon explained that these investments are not only a demonstration of his belief in the potential of Africa’s markets but also a call to action for other investors to follow suit. He indicated that by actively investing in the continent, Dangote seeks to show that the challenges facing African economies, while real, are solvable.
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“In the areas of our own investment, we’ve invested heavily in the last couple of years in oil and gas, which we spent—between the refinery, cement, and sugar backward integration—in seven years, we have invested over $25 billion,” Dangote stated.
Building Confidence in Africa
According to Dangote, this substantial investment is aimed at inspiring confidence in other investors, particularly those who might be hesitant about entering African markets. He pointed out that African leaders and entrepreneurs need to lead by example, proving that despite the various hurdles, the opportunities for growth and success are immense.
“Why are we doing that? We are doing that to show confidence. If we don’t really move by investing in our continent, it will be very difficult for other people to come in and invest,” Dangote explained. “We need to tell them that there is quite a lot of things happening in Africa, and the sky is the limit. Yes, of course, there are a few issues here and there, but those issues are solvable.”
This sentiment reflects Dangote’s broader vision of fostering a narrative shift around Africa, challenging the perception that the continent is a risky environment for investment. By showing that Africans themselves are investing in large-scale, long-term projects, he hopes to attract more international stakeholders to engage in the continent’s economic development.
A Vision for Africa’s Self-Sufficiency
Dangote also spoke about his commitment to making Africa self-sufficient, with an emphasis on reducing the continent’s reliance on imported goods. As a strong advocate of domestic production, his goal is to boost local manufacturing capabilities, particularly in industries that have traditionally relied on imports.
In Dangote’s view, the overdependence on imported goods is a key contributor to poverty in Africa. The practice of exporting raw materials and then importing finished products only stifles job creation and hinders economic growth. To counter this, Dangote’s companies are heavily involved in backward integration projects—initiatives aimed at producing goods locally by controlling both the production and supply chain.
“We Africans must lead in terms of this. We must make sure that we find jobs for our youths. That’s the kind of legacy I want to leave: to make Africa self-sufficient for what we consume,” Dangote remarked.
This vision aligns with his broader mission of creating employment opportunities for Africa’s growing youth population. With Africa projected to have the world’s largest workforce by 2050, Dangote stressed the importance of investing in industries that can absorb this demographic, fueling sustainable economic growth.
Changing the Narrative Around Wealth
While Dangote is widely recognized as Africa’s richest man, he expressed a desire to be remembered for more than his wealth. In his speech, he revealed that being labeled as the richest person on the continent makes him uncomfortable, as it detracts from what he sees as his real contribution—shaping Africa’s future through industrial investments.
“To me, anytime people address me as Africa’s richest person, I really get a little bit uncomfortable or upset. I’d rather be called somebody who creates the future of Africa. I invest a lot in Africa,” he said.
Dangote’s emphasis on building a lasting legacy highlights his long-term commitment to the continent. His investments, particularly in industries like oil refining, cement manufacturing, and sugar production, are geared towards creating a ripple effect that will elevate entire sectors of the African economy.
The Dangote Group, led by CEO Aliko Dangote, is one of the largest conglomerates in Nigeria and Sub-Saharan Africa. Its cement subsidiary is the largest employer in Nigeria, with over 19,000 Nigerians in its workforce. The conglomerate’s investments are also responsible for the creation of tens of thousands of jobs across the continent, with operations extending into several African countries.
One of Dangote’s most ambitious projects is his $19 billion refinery, which is set to become one of the largest in the world once completed. The project is staffed primarily by young engineers, many of whom are recent graduates from Nigerian universities. This underlines Dangote’s commitment to nurturing local talent and providing opportunities for young Africans to build careers in high-skill industries.