By Seun Ibiyemi
Africa’s foremost industrialist, Aliko Dangote, has cautioned that escalating tensions in the Middle East and the resulting volatility in global oil markets could have severe economic consequences for Nigeria and other African countries.
Dangote gave the warning on Monday in Lagos after a courtesy visit and Eid-el-Fitr homage to President Bola Tinubu.
He said the visit was aimed at extending Sallah greetings, reconnecting with the president, and reaffirming his support for the administration’s policies.
Despite Nigeria’s non-involvement in the crisis, Dangote noted that the country would inevitably feel the impact due to the interconnected nature of the global economy.
“We are part of a global village, and unfortunately, developments like this will affect us even if we are not directly involved,” he said.
The business magnate warned that prolonged geopolitical tensions could lead to higher fuel prices, increased transportation costs, rising inflation, and widespread economic hardship across the continent.
“If the situation does not de-escalate, we will end up paying a heavy price, especially given existing economic challenges,” he added.
Dangote further explained that governments could come under increased fiscal pressure as subsidies rise and revenues fluctuate amid unstable oil market conditions.
He also warned that Africa’s growing debt burden could worsen, reducing fiscal space and weakening economic resilience.
“Africa is already grappling with debt, and additional shocks will only compound hardship for governments and the people,” he said.
He stressed that rising energy costs would affect virtually all sectors of the economy, from small businesses to large-scale manufacturing and logistics operations.
“Energy affects everything. From small businesses like barbers to industries running generators, everyone will feel the impact if costs continue to rise,” Dangote noted.
According to him, some countries are already adopting coping mechanisms such as reduced workdays, energy rationing, and remote working arrangements measures that could ultimately slow productivity and economic output while affecting livelihoods, particularly among vulnerable populations.
Dangote urged global leaders to prioritise de-escalation, noting that many Africans depend on daily income for survival.
“In Africa, in Nigeria many people depend on daily earnings. If they don’t work, they don’t eat. So we must pray this situation comes down quickly,” he said.
On the domestic front, Dangote commended President Tinubu’s recent visit to the United Kingdom, describing it as a catalyst for new economic opportunities and improved investor confidence.
“I believe the visit has opened many doors. Diplomacy without economic outcomes is incomplete, and this has created opportunities for Nigeria,” he said.
He noted that agreements reached during the trip, particularly in infrastructure and financing, signal growing international confidence in Nigeria’s reform agenda.
Planned investments in key sectors such as ports, he added, would boost trade efficiency and support medium-term economic growth.
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Dangote also expressed optimism that more countries, including Germany, would follow with investments as confidence in Nigeria’s economy strengthens.
“Once confidence is established, other countries will come in. It is a signal that Nigeria is ready for business,” he said.
He added that the agreements would enable Nigerian private sector players to access international financing and technical support for large-scale projects an opportunity he described as a major breakthrough.
“We have not really utilised these resources before, but now there is clear capacity and willingness to fund viable Nigerian projects,” Dangote said.
Reaffirming his support for the administration, Dangote expressed confidence that ongoing reforms, strategic partnerships, and renewed investor confidence would drive sustainable economic growth in Nigeria.
