As Nigeria
grapples with a foreign
exchange crisis, one person
stands out in the scramble to
obtain hard currency: Aliko
Dangote, Africa's richest man.
When the government
restricted the supply of
dollars in June 2015 to prop
up the value of the Nigerian
naira, firms owned by
Dangote landed a healthy
share of dollars available at
the cheap official rate, a
study by Reuters shows.
Reuters examined foreign
currency transactions made
during an 11-week period in
March to May this year. Over
that time, Dangote
businesses were able to buy
at least $161 million in hard
currency from the central
bank. That was around nine
percent of all the hard
currency the bank sold over
the period. In a single week
in March, one dollar in every
eight went to Dangote
companies. There is not
enough data to see how that
stacks up with the
companies' share of foreign
trade.
Compared with buying dollars
on the more expensive
unofficial market, though,
Dangote companies benefited
to the tune of about $100
million.
The wrangling for dollars
highlights Dangote's pivotal
role as Africa's biggest
economy tries to diversify
away from oil.
Over the past year, Nigeria
pegged its currency, the
naira, to the U.S. dollar at an
official rate of 197-199 naira.
The central bank doled out
dollars at the official rate to
companies it deemed
strategic to the Nigerian
economy. Until June 20, when
the bank abandoned the peg,
anyone else had to pay a lot
more on the black market.
Small businesses complained
that the foreign exchange
restrictions were forcing
them out of business. Frank
Jacobs, president of the
Manufacturers' Association of
Nigeria, said that the
majority of manufacturers -
2,000 of them - had been
unable to source raw
materials because they could
not obtain dollars to pay for
imports. Up to 100 firms
either shut completely or cut
production, he said. "The
large companies have better
clout."
Dangote's purchases were
entirely legal, and some
economists say the 59-year-
old deserved such special
treatment because he has
promised to build a much-
needed oil refinery. He also
has a track record helping
Nigeria become more self-
sufficient in cement and food.

http://af.reuters.com/article/nigeriaNews/idAFL4N19E3JX?feedType=RSS&feedName=nigeriaNews&utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+reuters%2FAfricaNigeriaNews+%28News+%2F+Africa+%2F+Nigeria+News%29&&rpc=401

Zoo government

Its called....divident of supporting/financing apc presidential campaign

Why is Dangote the only Nigerian that always get favours and free great enabling environment to boost his private business ? This is undemocratic and pure nepotism.

May 2015? Who was still in power then?

Everything is designed to ensure we have at least one Nigerian remain one of the richest in the world. Dangote is the annointed. Is that a bad thing!?

Dangote is building one of the biggest refineries in the world, its only natural the government supports him.

predear:
Its called....divident of supporting/financing apc presidential campaign

He was the biggest campaign donor at the Jonathan fund raiser, what are you saying again?

Dangote is the only one with business sense and ambition, the rest of us are just simpletons, right?

grafikii:

He was the biggest campaign donor at the Jonathan fund raiser, what are you saying again?

But he clandestinely supported his fellow northerner else he won't be having the free reign he's having regarding forex.

n a single week
in March, one dollar in every
eight went to Dangote
companies. There is not
enough data to see how that
stacks up with the
companies' share of foreign
trade.
Compared with buying dollars
on the more expensive
unofficial market, though,
Dangote companies benefited
to the tune of about $100
million.

Its good to have a fellow Fulani at the seat of power.

Luckylife:
Why is Dangote the only Nigerian that always get favours and free great enabling environment to boost his private business ? This is undemocratic and pure nepotism.

Nepotism from where? He also enjoyed the same favour from previous governments so it is out of place for anyone to think he enjoys this due to nepotism.

For Dangote to get the support of every single government, both PDP, APC, North and South, then there is definitely something he knows how to do right.

As long as he uses the money for (known) legitimate businesses which would create jobs, improve forex earnings and generally boost the nation's economy, then no biggie. Besides, Dangote is audaciously building one of the biggest refineries in the world, a project which would save Nigeria over $6billion yearly in forex flight and a project which should be a source of embarrassment to every single FG since 1980. If the CBN doesn't support this kind of project, I wonder who else the CBN should be supporting with forex.

I still don't get how people reason, after ranting online you'll be the first to apply for job openings at this same Dangote factory, I mean when will bigotry clear off our eyes? if it means giving him the whole forex and in return industrialize Nigeria, no problem, Japan did it even the almighty China is still doing it why then do we see ours as nepotisim



I'm really sick of Africa

All hail Alhaji Putin... Friend & Favourite of every government since Babangida days, God dey!!!

Cc Mynd44

I have stopped hating on him, na effort in futility, now I pray to his "God" to favour me too...