By Mohammed Bello Doka
In a powerful address at the Banquet Hall of the State House in Abuja, Aliko Dangote, Chairman of the Dangote Group, voiced his concerns over the Central Bank of Nigeria's recent decision to elevate the interest rate to nearly 30 percent. His remarks were delivered during the opening session of a three-day summit organized by the Manufacturers Association of Nigeria (MAN), a gathering that attracted key players in the manufacturing sector, policymakers, and financial experts.
Dangote did not mince words, highlighting the detrimental impact such high-interest rates could have on job creation and economic growth. He stated, “Nobody can create jobs with an interest rate of 30%. No growth will happen.” His statement resonated deeply with the audience, many of whom have been grappling with the challenges posed by the current economic climate.
Drawing comparisons with leading economies, Dangote urged the government to adopt strategies that protect and nurture domestic industries. "We must look to leading countries in the West and the East who are actively protecting their domestic industries," he emphasized. By citing examples from more advanced economies, he underscored the importance of government intervention in fostering a conducive environment for local businesses to thrive.
He further elaborated on the consequences of import dependence, equating it to "importing poverty and exporting jobs." This pointed remark reflects a growing concern among Nigerian manufacturers about the country’s heavy reliance on imported goods, which stifles local production and contributes to unemployment. Dangote underscored the necessity of affordable financing, stating, "No power, no growth, no prosperity. Similarly, no affordable financing, no growth, no prosperity." His comments highlight the crucial role that access to low-cost capital plays in stimulating industrial activity and driving economic development.
Dangote's impassioned speech also touched on broader socio-economic issues, linking the lack of industrial protection to the rise in insecurity, banditry, kidnapping, and abject poverty. "There is no industrialization without protection," he warned, calling for immediate and decisive action to safeguard Nigeria's economic future. His remarks were met with applause from the attendees, who echoed his call for a more supportive and protective economic policy.
The summit, themed "Revitalizing the Manufacturing Sector for Economic Growth," aims to address the pressing challenges facing Nigeria's industrial landscape. Over the course of three days, participants will engage in discussions and workshops designed to formulate actionable solutions to enhance the competitiveness of Nigerian manufacturers. Topics such as infrastructure development, policy reforms, and innovation in manufacturing processes are on the agenda, with the goal of creating a roadmap for sustainable industrial growth.
Dangote's address set the tone for the summit, highlighting the urgent need for a collaborative effort between the government and the private sector. His call to action serves as a rallying cry for stakeholders to prioritize the creation of a more favorable business environment. As one of Africa’s most prominent industrialists, Dangote's insights carry significant weight, and his advocacy for lower interest rates and better support for local industries is likely to influence policy discussions in the coming months.
In conclusion, Dangote’s remarks underscore a critical juncture for Nigeria’s economic policy. As the country grapples with the twin challenges of fostering growth and addressing unemployment, the need for supportive financial and industrial policies has never been more apparent. The MAN summit offers a timely platform for these crucial conversations, with the potential to shape the future of Nigeria's manufacturing sector and, by extension, its overall economic trajectory.
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