Market News

Aliko Dangote, founder of Dangote Group, has urged the Federal Government to replicate the successful Naira-for-Crude model across other sectors of the economy, describing the initiative as a bold and transformative policy that is already restoring investor confidence and stabilising Nigeria’s business environment.

Dangote made the remarks over the weekend during a high-profile visit by the Minister of Industry, Trade and Investment,  Jumoke Oduwole, to the $20 billion Dangote Petroleum Refinery & Petrochemicals and Dangote Fertiliser Limited in Ibeju-Lekki, Lagos.

In his address, Dangote praised President Bola Tinubu for implementing policies that prioritise local industry and safeguard national economic interests. He specifically lauded the President’s directive that crude oil transactions to domestic refineries be conducted in naira, describing it as a crucial move that aligns with the Nigeria First policy.

“I believe we must sincerely thank His Excellency, President Bola Ahmed Tinubu, for ensuring there have been improvements in the supply of crude oil. His insistence that all crude oil transactions be conducted in naira has been particularly commendable,” Dangote said. “For us to effectively meet market demand—which we can do—it is essential that crude is priced and purchased in our local currency.”

According to Dangote, the policy has already had a stabilising effect on the naira-to-dollar exchange rate, creating a more predictable environment for business operations. He noted that the local currency has experienced less volatility in recent weeks, and expressed optimism that it will continue to strengthen as reforms take hold.

“We are also beginning to see some stability in the naira-to-dollar exchange rate, which has had a positive impact. There is now less fluctuation, and this has brought a degree of predictability to the market,” he said. “For those of us in the business sector, this is a welcome development, as it allows us to plan more effectively.”

Dangote also highlighted the success of the newly established One-Stop Shop (OSS) created to streamline the regulatory framework for domestic crude transactions. The OSS brings together key agencies such as the Nigerian Navy, NIMASA, and NPA under one roof, expediting processes and reducing bureaucratic delays.

“At present, we are not experiencing any significant issues with loading. All the relevant agencies have been brought together under one roof. This coordination has greatly improved efficiency,” he said, praising the leadership of Mr Zack Adedeji, Chairman of the Technical Committee, for ensuring issues are addressed swiftly.

He added that the government’s intention to replicate the OSS model across other sectors could drastically enhance industrial productivity and ease of doing business.

Further underlining the refinery’s forward-looking approach, Dangote revealed plans to introduce 4,000 Compressed Natural Gas (CNG) tankers to transport petroleum products in a more environmentally friendly and cost-effective manner. This initiative, he said, is aimed at reducing logistics costs and bringing fuel products closer to end users at affordable rates.

Meanwhile, Jumoke Oduwole, who was on a facility tour, reiterated the Federal Government’s commitment to promoting domestic investment and addressing structural challenges hindering local enterprise.

“We are here today as a result of President Bola Ahmed Tinubu’s clear focus on domestic investment. As you are aware, we held a Domestic Investment Summit on Monday—the first of its kind. Today, we are gathered at the invitation of Alhaji Aliko Dangote, a leading investor who has committed an extraordinary amount of resources to Nigeria’s development,” she said.

Describing the refinery as a landmark achievement, Oduwole noted that even national governments are often hesitant to undertake projects of such magnitude. She commended Dangote’s bold vision and affirmed the administration’s resolve to provide practical support to such ventures.

“He has taken on a project of such magnitude—one that even governments often hesitate to undertake. As an administration, we do not take this lightly. We are here to show our full support for him, both as a foremost domestic investor and as a prominent champion of African investment on the global stage,” she added.

Dr Oduwole emphasised that government support is not limited to rhetoric, pointing to continuous stakeholder engagement and regulatory reforms aimed at reducing business costs and stimulating industrial growth.

“The work continues. We are reviewing the regulatory and legislative frameworks to ensure that the business environment is conducive for local investors. The time, attention, and effort we are committing reflect our priorities as an administration,” she said.