President Tinubu, right, receiving Alhaji Aliko Dangote
Dangote warns Middle East conflict could worsen Africa’s economic hardship
President of the Dangote Group, Aliko Dangote, has expressed concern over rising volatility in the global oil market, cautioning that the ongoing conflict in the Middle East risks deepening economic distress across Africa unless swiftly resolved.
Speaking on the crisis’s implications, Dangote noted that while Nigeria is not directly involved, the country would inevitably feel the ripple effects of global oil price swings.
“It means quite a lot. We don’t have much to do with it, but I know the world is a global village. And it definitely will affect us, unfortunately, but we pray this situation will be sorted out,” he said following his visit to President Bola Tinubu in Lagos on Monday.
Dangote warned that a protracted crisis could further destabilize economies, especially in Africa, where fiscal buffers are slim and debt burdens remain high.
“If it doesn’t de-escalate, we’ll end up paying big prices, like what I said earlier on to CNN. Africa is very busy paying debt, and putting this again on top of us is going to add a lot of hardship on people, on the government, on the people, on everybody, for something that we have no involvement in.”
He emphasized that energy costs underpin nearly all economic sectors, meaning sustained price hikes would have widespread, cascading effects on livelihoods and production.
“So if this thing doesn’t de-escalate, it is going to keep going up and up and up, and governments cannot really now go and add salaries also. So people will really feel the hinge — barbers, people who are doing bread, people who have industries, who have to fire their own generator,” he said.
Dangote also pointed to potential global adjustments as countries respond to the crisis, such as reduced work schedules and remote working arrangements aimed at cutting energy consumption.
“I mean, you can see in some countries today what they’ve done; they asked everybody to work from home. I think in Indonesia, they say, ‘No, only go to work four days a week.’ And they will look at the situation.
“If it doesn’t improve, they will ask everybody not to go to work anymore. We will do it like the time of COVID, where people will now go and work from home.
“If they don’t work that day, they won’t eat. So I think really we just need all hands on deck to pray that this thing comes to an end,” the businessman said.
Separately, Dangote described Tinubu’s recent state visit to the United Kingdom as a significant boost for Nigeria’s economic outlook.
“Well, I think it has opened ways. Today, diplomacy without the economic part of it is not complete. So I believe his own visit will open quite a lot of doors,” he said.
Dangote described the £746 million agreement secured by Nigeria as noteworthy, citing the difficulty often involved in obtaining such commitments.
“You can see the agreement that was signed for actually improving our infrastructure, especially in the ports and other areas, which is almost £746 million; that’s quite a lot. It’s not that easy dealing with the British, getting this kind of money out of them. They, too, are struggling on their own.”
He stressed that beyond the financial value, the deal signals renewed global confidence in Nigeria’s economy and leadership.
“But I think this is to show confidence. It’s not about the money. It’s about the confidence in Nigeria.
“So the moment that they do that, there will be other countries that will follow suit… Germany will come, others, so they will line up and start coming now,” he added.
Dangote also urged Nigerian investors to seize opportunities arising from the agreements, particularly access to international credit facilities.
Global oil prices have faced sustained pressure in recent weeks amid escalating tensions in the Middle East, with supply disruption fears pushing crude prices higher.
The instability has driven up the cost of petroleum products across international markets, with import-dependent countries facing immediate fallout.
In Nigeria, the impact has shown up in rising pump prices, as refiners and marketers adjust to higher crude costs.
The Dangote Refinery, along with other downstream operators, has implemented price increases in recent weeks, reflecting global market conditions.
This has added to the strain on consumers already contending with inflation and high transportation costs.
Businesses across Nigeria continue to voice concern over rising energy costs, as many rely heavily on petrol and diesel to run generators amid persistent electricity challenges. This has driven up production costs, which are often passed on to consumers.
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