Dangote Group President, Aliko Dangote, has announced a US$400 million investment in Kenya’s cement industry. The investment will take the form of a new cement plant, to be initiated within the next two years.
The announcement was made during a visit by a Nigerian Presidential delegation to Kenya, of which Dangote was a part. In a business forum dedicated to bilateral investment between Nigeria and Kenya, it was announced that Kenya is following in Nigeria’s footsteps by allowing Nigerian business people to gain 5 – 10 year visas. Nigeria had earlier made the same arrangements for Kenyan business people. This should encourage more business between the two countries.
Dangote Cement is working on an ambitious expansion plan across Africa, including South Africa, Zambia, Gabon, Ethiopia, Tanzania, Senegal, Benin and Republic of Congo at an investment cost of US$5 billion.
Intra-African trade is currently below 12% due to the difficulties in trading between countries. Mr Dangote said that the Nigeria-Kenya relationship could be taken as a model from which other countries could build. Kenya and Nigeria will offer help in their respective areas of strength, such as tourism in Kenya and oil and gas in Nigeria. Meanwhile, Presidents Jonathan (Nigeria) and Kenyatta (Kenya) have assured the forum of their backing for the initiative.
Edited from various sources by Katherine Guenioui
Read the article online at: https://www.worldcement.com/africa-middle-east/09092013/dangote_cement_expands_into_africa_159/