Aliko Dangote, the President of Dangote Group has reiterated that his $20 billion Lagos-based refinery will stabilize the Naira against the dollar at the foreign exchange market.
The African richest man disclosed this in a 25-minute interview with Bloomberg Television on Monday.
He noted that petroleum products imports consume about 40 percent of Nigeria’s foreign exchange.
According to him, the kick-off of Dangote Refinery petrol distribution on September 15, 2024, will reduce the demand of Dollars by 40 percent.
“And then we will also sell in the domestic market. What that will do is that it’s going to remove 40 percent pressure on the naira.
“So because see, the petroleum products consume about 40 percent of foreign exchange, so you know, and then, you know, it’s like you have 40 percent of demand being taken out, so that can actually stabilize the naira and even if they subsidize, they would know what they are paying for,” he said.
In an update to the crude in Naira deal between Nigerian and Dangote Refinery, he said the company plans to hold a meeting with the presidential committee this week.
“The deal is to give the government something that they want. It’s also a win-win situation for all and it would benefit the country”, he said.
Dangote had earlier blamed the current price of its petrol on the cost of imported crude oil.
However, the Nigerian Government through the Minister of Finance, Wale Edun on August 19 assured that crude supply to Dangote Refinery in Naira will be made by October 2024.