While addressing the audience during the opening session of a three-day summit organized by the Manufacturers Association of Nigeria (MAN) at the Banquet Hall of the State House, Abuja, on Tuesday, Aliko Dangote expressed concerns over the high interest rates, stating that businesses cannot cope with the current rate.
In May, following a two-day meeting, the Central Bank of Nigeria’s (CBN) Monetary Policy Committee (MPC) agreed to increase the Monetary Policy Rate (MPR) for the third consecutive time, from 24.75 per cent to 26.25 per cent.
“The Monetary Policy Committee (MPC) of the Central Bank of Nigeria (CBN) held its 295th meeting on the 20th and 21st of May 2024 to review recent economic and financial developments and assess risks to the outlook. The committee’s decisions are as follows: Raise the MPR by 150 basis points to 26.25 per cent from 24.75 per cent,” CBN Governor and MPC Chairman Yemi Cardoso announced.
During the summit, Dangote highlighted the challenges posed by high interest rates, stating, “Nobody can create jobs with an interest rate of 30%. No growth will happen.” He called on the government to protect existing businesses, particularly manufacturers, by providing an enabling environment for them to thrive.
He emphasized the detrimental impact of import dependence, equating it to importing poverty. “No power, no prosperity. No affordable financing, no growth, no development,” he explained.
Dangote asserted that to address the challenges of unemployment, poverty, and insecurity, the government must empower the manufacturing sector to function optimally.
The MAN also criticized government policies and attitudes, attributing them to the low performance of the manufacturing sector in the country.
The event was attended by Vice President Kashim Shettima and other government officials. In his remarks, the President of MAN, Otunba Francis Meshioye, noted that over seventy manufacturers exited the sector between 2019 and 2022. He emphasized the need to take stock and rethink strategies to support manufacturing businesses, aligning with the agenda of the current administration.
