Aliko Dangote, the President of Dangote Group, has expressed optimism that the recent reduction in diesel prices by Dangote Refinery will help alleviate inflationary pressures in Nigeria.
Speaking after a visit to President Bola Ahmed Tinubu, Dangote highlighted the significant drop in diesel costs from N1,650 to N1,200 per litre, a move expected to positively impact the economy.
Dangote’s remarks come in the wake of concerning inflation figures, with the National Bureau of Statistics reporting a rise to 31.70% in February, up from 29.90% in January 2024. However, Dangote believes that the reduction in diesel prices could counteract this trend, leading to a potential decrease in inflation rates in the coming months.
The industrialists emphasised that the improved exchange rate of the naira to the dollar has already begun to benefit local businesses, particularly in sectors like flour production, where costs have been lowered due to reduced diesel expenses.
Dangote expressed confidence in the impact of the diesel price cut on the economy, stating, “Even though the crude prices are going up, I believe people will not get it much higher than what it is today at N1,200.” He stressed the significance of this reduction in transportation costs for locally produced goods, potentially easing inflationary pressures.
Moreover, Dangote called for collaboration between the private sector and the government to foster economic growth. He emphasised the need for mutual efforts, stating, “You can’t clap with one hand. So the entrepreneurs and the government need to clap together.”
In a similar vein, Ogun State Governor Dapo Abiodun echoed sentiments of economic recovery, attributing progress to initiatives spearheaded by the Tinubu Administration. Governor Abiodun expressed confidence in Nigeria’s resilience, stating, “The development of Nigeria is now paramount. It is a must. Nigeria is going to rise again.”
Both Dangote and Governor Abiodun’s remarks underscore a sense of optimism amidst economic challenges, with hopes pinned on collaborative efforts to steer the nation towards prosperity.