President of Dangote Group, Aliko Dangote, has explained why petrol prices remain high in Nigeria despite the commencement of large-scale domestic refining, saying the Dangote Refinery still buys crude at prevailing international market prices.
Speaking on Arise News, Dangote said the refinery had at times paid as much as $124 per barrel for crude, making it difficult to sell petrol significantly below sustainable market prices.
He said petrol was still cheaper in Nigeria than in neighbouring countries, where prices were reportedly 30 to 50 per cent higher, leading to continued smuggling of locally produced petrol across Nigeria’s borders.
“We can’t go now and subsidise everything,” Dangote said, while assuring Nigerians that his refinery would continue to meet domestic demand.
“Nigerians don’t need to worry. There will not be any shortage from our own part. There will be no queues, and we’ll make sure we keep satisfying the market despite all odds,” he said.
On Nigeria’s industrialisation, Dangote identified high interest rates as a major obstacle to investment, saying it was difficult to industrialise with borrowing costs around 30 per cent.
“It is very difficult to industrialise with interest rates at 30 percent. I can’t see the magician who can actually industrialise a country with 30 per cent interest cost,” he said.
The billionaire also warned that inconsistent government policies, high financing costs and inadequate electricity could discourage further investment in the refining and manufacturing sectors.
He said Nigeria needed to protect productive domestic industries if it wanted businesses to create jobs, generate taxes and deepen economic activity.
“If you import, what you are doing is you are importing poverty and exporting jobs that you are supposed to create out of the country,” he said.
Dangote also criticised the high cost of electricity and reliance on diesel by manufacturers, saying, “you cannot manufacture goods with diesel.”
‘I’ve lived in my home for 36 years’
The businessman also disclosed that he had lived in his current residence for 36 years and had no plans to move.
“You know how long I’ve been here? Thirty-six years. I don’t plan on leaving. I’m very comfortable here,” he said.
Dangote also criticised wealthy Africans who spend heavily on private jets without investing in productive ventures such as factories.
“What I see is people now owning aircraft all over the place, flying all over, and they don’t have one single factory,” he said.
According to him, his priority is to use his wealth and businesses to support the industrialisation of Africa.
He added that foreign investors were increasingly interested in Africa but needed large-scale investment opportunities capable of attracting significant capital.
Dangote says male heir not a priority
On succession, Dangote said having a male heir was not a priority, stressing that his three daughters were capable of leading the Dangote Group.
Asked if he could see one of his daughters eventually taking charge of the conglomerate, he said: “I think, yes, I can see one of them. I’ve been watching all of them, so I can definitely see one of the three that can actually lead.”
His daughters, Halima, Fatima and Mariya, hold senior positions within the conglomerate and have become increasingly involved in the family business.
Dangote said their participation was driven by their own interest rather than pressure from him.
“They are very, very interested in the business. I’m not forcing them to come and be part of this business, no. They are very interested, and they enjoy it,” he said.
He said his daughters could potentially take the company to a higher level.
“Most likely, they might be even taking the company to the next level,” he said.
Asked whether all three were capable of leading the business, Dangote replied: “All of them.”
On whether he still wished to have a son, particularly given traditional expectations surrounding male heirs, he said it was not important to him.
“Sometimes you can pray for God to give you a son, but that son might be the one to bring down the name of the family,” he said.
Dangote said his succession plan was ultimately focused on professional management and strong corporate governance rather than simply transferring control to a family member.
“I want this company to be run professionally. I want to have the highest level of governance,” he said.
Citing companies such as Microsoft and Apple, he said successful businesses should be structured to survive beyond their founders.
“We want to make sure that we make it very difficult for any family member to come and destroy anything,” he said.
Dangote said his broader ambition remained the industrialisation of Africa.
“What I want to leave as a legacy is to industrialise Africa. I cannot do it alone, but I’m 100% sure that in the next two or three years, other Africans will join,” he said.