Alhaji Aliko Dangote, the President, Dangote Industries Ltd has criticized the Central Bank Nigeria, CBN’s 30 per cent interest rates, warning that such industry policy is capable of stifling business growth and job creation in the country.
This is as the business magnate also proffers solutions to sustaining existing local and foreign investments as well as attracting new investors into the country.
Dangote made these known in a keynote speech delivered at the opening of a three-day Nigeria Manufacturers Summit with the theme,” Rethinking Manufacturing in Nigeria”.
Reports have it that the summit, held at the Banquet Hall, State House, Abuja, was declared open by Vice President Kashim Shettima.
The African richest man said, that to prevent investors from leaving the country in droves and attract new ones, the Federal Government must initiate deliberate industrial policies that assure investors of support and protection
According to him, such policies are the greatest incentives for all existing investors, and manufacturers, both local and foreign.
The industrialists also noted that foreign investors and manufacturers would be attracted only when they see that local investors are also doing well.
According to him, what attracts foreign investment is not when the President or any other government agencies go outside the country to seek for foreign investment.
” I am recommending that government policies should support, and protect existing industries so that others will know that their investments will also be protected.
” Are there any better incentives than that? I don’t think so.
“So, I humbly submit that an industrial policy that assures investors of support and protection is the greatest incentive for all investors both local and foreign,” he said.
Dangote also underscored the importance of stable and affordable power, as well as accessible financing to sustain and attract investors and manufacturers.
He said stable, affordable power and access to finance by manufacturers and investors would guarantee growth, industrialisation and prosperity.
According to him, import-dependent economy is equivalent to importing poverty and exporting jobs.
He further said that when government policies become more supportive and protective, investors would be more willing to collaborate and partner with the government.
” This will help in resolving other challenges such as infrastructure deficit, market instability and market economic issues such as inflation and foreign exchange volatility.
“However, ignoring all these facts is what gives rise to insecurity, banditry, kidnappings and abject poverty in the land,” he said
On Bank loans to investors, Dangote said that the current 30 per cent interest rate is stifling growth and there is no way anybody can create jobs.
The business magnate, however, expressed the optimism that Nigeria has all it takes to develop and sustain a globally competitive manufacturing sector.
“To do so, we must rethink our industrialisation policy. We must look to leading countries in the West and the East who are protecting their domestic industries.
“We must similarly, introduce policies to protect our domestic industries and nurture them into home champions that will create the jobs and prosperity we desperately need.
” The time to rethink our industrial policy is now,” Dangote said.
He reiterated that manufacturing remains the key driver in the nation’s quest for economic development and self-sufficiency.
Dangote added that the strengths of a country’s manufacturing sector determine its capacity to compete in global trade.
Also speaking at the event, a former Minister of Industry, Trade and Investment, Olusegun Aganga, appealed to President Bola Tinubu to declare manufacturing, a national priority sector.
