Dangote Warns Middle-East tensions could trigger severe oil shock

By Muhyideen Jimoh

Africa’s richest man, Alhaji Aliko Dangote, on Monday warned that escalating Middle-East tensions could trigger global oil shocks with severe consequences for Nigeria and African economies.

Speaking in Lagos after a courtesy visit and Eid-el-Fitr homage to President Bola Tinubu, Dangote said, “We are part of a global village, and unfortunately, developments like this will affect us even if we are not directly involved.”

He cautioned that prolonged instability could drive up fuel prices, transport costs and inflation, adding, “If the situation does not de-escalate, we will end up paying a heavy price, especially given existing economic challenges.”

Dangote said rising energy costs would affect all sectors, noting, “Energy affects everything. From small businesses like barbers to industries running generators, everyone will feel the impact.”

He also warned that Africa’s debt burden could worsen, stressing, “Africa is already grappling with debt, and additional shocks will only compound hardship for governments and the people.”

Calling for urgent global action, he added, “In Africa, in Nigeria many people depend on daily earnings. If they don’t work, they don’t eat.”

On Tinubu’s recent visit to the United Kingdom, Dangote said the trip had boosted Nigeria’s investment outlook, stating, “I believe the visit has opened many doors. Diplomacy without economic outcomes is incomplete.”

He added that the agreements reached signal growing investor confidence, saying, “It is not just about the money committed, but the confidence it shows in Nigeria and the reforms being implemented.”

Dangote noted that planned investments, particularly in infrastructure, would enhance trade efficiency, adding, “These investments will help improve our infrastructure, especially in key areas like ports.”

He expressed optimism that more countries would follow suit, saying, “Once confidence is established, other countries will come in. It is a signal that Nigeria is ready for business.”