Onome Amuge
The African Export-Import Bank (Afreximbank) has announced the finalisation of a $1.35 billion financing facility in favour of Dangote Industries Limited (DIL), Africa’s largest industrial conglomerate. This substantial injection of capital forms part of a larger $4 billion syndicated financing arrangement aimed at refinancing the capital expenditures incurred during the construction of the colossal Dangote Petroleum Refinery and Petrochemicals Complex.
Afreximbank, which acted as the mandated lead arranger for the syndication, highlighted that this financing represents one of the largest syndicated loans recently concluded in African financial markets. The funds are earmarked specifically for the 650,000 barrels per day (bpd) facility in Lagos, the world’s largest single-train refinery.
The financing initiative is designed to alleviate initial operational expenditures for DIL and enhance its balance sheet, thereby supporting its ongoing growth trajectory. Afreximbank’s contribution of $1.35 billion stands as the largest share among all participating banks, underscoring its strategic commitment to large-scale infrastructure projects that are pivotal for Africa’s industrialisation, energy security, and the promotion of intra-African trade.
Benedict Oramah, president and chairman of the board of directors at Afreximbank, emphasised the significance of the deal: “With this landmark deal, we once again demonstrate that Africa’s development can only be meaningfully financed from within. It is only when African institutions lead the way that others can follow. The journey to utilize African resources for its own economic transformation is well underway,” he said.
He added, “Through the Bank’s funding support, we are enhancing the capacity of the Dangote Refinery and Petrochemical Industries Ltd to produce and supply high quality refined petroleum products to the Nigerian market, as well as for export to the entire continent and the world. Our energy security is in sight.”
Aliko Dangote, president and chief executive of Dangote Industries Limited, echoed this sentiment, stating: “Afreximbank’s contribution to this milestone financing underscores our shared vision to industrialize Africa from within. This refinancing strengthens our balance sheet and accelerates with ease the refinery’s supply of high-quality refined petroleum products across Africa.” He also noted the strong participation from other leading African and international financial institutions in the syndicated facility, reflecting enduring confidence in Africa’s industrial potential and Dangote’s vision in transforming Africa.
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