Dangote: Misbehaving people ‘well known’ in Nigeria

Dangote: Misbehaving people ‘well known’ in Nigeria

Nigerian billionaire Aliko Dangote has called on the government to crack down on oil theft, arguing that strong government action will help to mitigate the continued impact of low prices.

Speaking at the FT Africa summit in London, Africa’s richest man argued that Muhammadu Buhari’s government should prioritise a robust response to entrenched corruption alongside increased revenue collection.

“If government will try and block these holes and make sure they collect taxes, make sure they collect customs duties, we will be ok. We won’t have as much foreign exchange as before, but with managing supply and demand we will get there,” he said.

Dangote said that he had been encouraged by the actions taken by Buhari since his election in April, particularly his attempts at cracking down on corruption.

Buhari has prioritised reform at the Nigerian National Petroleum Corporation, the unwieldy state company which has gained a reputation for fraud and mismanagement. The government have replaced the senior ranks of NNPC’s leadership, hiring private sector expert Ibe Emmanuel Kachikwu.

 “I’m very confident that the new government will be able to block loopholes because the President is very serious about it. By having him come into office we’ve had power improve by 18%. It depends on perception of leadership, the guy is no nonsense. He’s very determined to stamp out corruption… And Nigeria is a place where most of the people misbehaving are well known” he said.

Dangote said that the current decline in oil prices would have an impact on the economy, but argued that previous oil theft and corruption meant that the price Nigeria had been receiving for its oil had been less than expected for some time.

“We will have a short term shock. But I think people should also remember that Nigeria’s economy is very resilient. I know we’ve been selling oil at over $100 for the last 4 years, but at the same time within government operations we’ve been having leakages…it doesn’t mean we were capturing all of that $100.”

Also speaking at the summit, Wale Tinubu, chief executive of oil producer Oando, said that NNPC reform remained “absolutely critical”

“Successive governments have said they intend to reform NNPC but have failed. The NNPC must be made to function as a going concern… We don’t need any fancy loans, we need political will, probity and excellent management.”

Aliko Dangote speaks exclusively to African Business in our October issue, out now

David Thomas


Rate this article

Author Thumbnail
Written by David Thomas

David Thomas is deputy editor at African Business Magazine. He has also been published in the Financial Times, the Wall Street Journal, the Economist and South Africa's Cape Times.

Related Posts

  • Improving the efficiency to boost tax revenue

    How can African countries raise more tax revenue without putting off investors? Logan Wort executive secretary of the African Tax Administration Forum (ATAF) shares his insights. What are some of …

  • Boosting Africa’s tax revenues

    Taxes on corporates and individuals have steadily declined in Africa just as national budgets are being stretched. How can Africa boost tax revenues? In late …

  • Egypt recovers LNG output

    Egypt is now poised to regain its status as a regional oil and gas hotspot, after a sharp fall in output following the2011 revolution. From October 2018, …

Join our mailing list

If you would like Independent, Informative and Invaluable news analysis on the African continent, delivered straight to your inbox, join our mailing list.

Help us deliver better content