Why Dangote Criticizes CBN’s Latest Policy Decision

Why Dangote Criticizes CBN’s Latest Policy Decision

Aliko Dangote, Chairman and Chief Executive of the Dangote Group, has criticized the recent hike in interest rates by the Central Bank of Nigeria (CBN) to nearly 30 percent. Naija News reports that the CBN raised the Monetary Policy Rate (MPR) for the third consecutive time, from 24.75 percent to 26.25 percent in May.

Speaking at the opening of a three-day summit organized by the Manufacturers Association of Nigeria (MAN) at the Banquet Hall of the State House in Abuja, Dangote stated that businesses cannot sustain operations under the current interest rate. He emphasized the need for the government to create a conducive environment for businesses to flourish, warning that an economy heavily reliant on imports equates to importing poverty.

“No power, no prosperity. No affordable financing, no growth, no development,” Dangote asserted.

He argued that to tackle unemployment, poverty, and insecurity, the manufacturing sector must be strengthened. The MAN also criticized government policies and attitudes, attributing them to the poor performance of the manufacturing sector.

The summit was attended by Vice President Kashim Shettima and other government officials. In his remarks, MAN President Otunba Francis Meshioye noted that over seventy manufacturers had left the sector between 2019 and 2022.