Dangote Criticizes CBN’s 30% Interest Rate Increase

Aliko Dangote, Chairman and Chief Executive of the Dangote Group, has denounced the Central Bank of Nigeria’s recent hike in interest rates to nearly 30%.

Speaking at the opening session of a three-day summit organized by the Manufacturers Association of Nigeria (MAN) in Abuja, Dangote expressed concern that such high interest rates are detrimental to business operations in the country.

The CBN raised the Monetary Policy Rate (MPR) from 24.75% to 26.25% in May, marking the third consecutive increase.

Dangote emphasized the importance of a conducive business environment to foster economic growth, stressing that without adequate power supply and affordable financing, development and prosperity would be compromised.

He asserted that Nigeria, being overly reliant on imports, equates to importing poverty, underscoring the need for policies that support local manufacturing.

Echoing Dangote’s sentiments, MAN President Otunba Francis Meshioye criticized government policies and attitudes, attributing them to the underperformance of the manufacturing sector. He noted that over seventy manufacturers had exited the sector between 2019 and 2022, highlighting the sector’s challenges.

The summit, attended by Vice President Kashim Shettima and other government officials, aimed to address issues affecting Nigeria’s manufacturing industry and explore strategies for its revitalization.