Aliko Dangote, a big businessman who created a $20 billion refinery in Nigeria, has lost over $1 billion this year.
This happened because Nigeria’s money, called the naira, lost a lot of its value. His company shares also became worth less.
According to Bloomberg, Dangote is the richest person in Africa and is ranked 145th among the richest people in the world.
He is the only person from Nigeria in the top 500 richest people and is also the richest Black person on the planet.
Dangote has been the richest person in Africa for 12 years in a row. He ended this year with $13.9 billion. But his refinery is not included in this number yet.
Documents show he owns at least 86 percent of Dangote Cement. This company can make 48.6 million metric tons of cement each year and is worth a lot in Nigeria. Dangote also owns shares in other companies like NASCON Allied Industries, Dangote Sugar, and the United Bank for Africa.
The Dangote Group, which is a big company in West Africa, paid a lot of money in taxes to the government over the last three years.
The naira had a very bad year, and this has hurt Nigeria’s economy. The currency lost a lot of value after changes were made to help the economy in June.
These losses and decisions by the Securities and Exchange Commission have also hurt Dangote’s business. Inflation and changing currency rates made things even harder for his company, squeezing profits.
Dangote Industries Limited plans to sell 12.5 percent of its oil refinery, which can process 650,000 barrels of oil each day. The weak naira makes it tough for Dangote because he borrows money in US dollars but makes money in naira.
In 2023, Dangote’s company lost a lot of money because of foreign exchange issues. Supply problems and a bad rating from Fitch added to the troubles.
The Dangote Group wants to make around $30 billion by 2025. They plan to do more business in foreign currencies and rely less on Nigeria’s Central Bank. The group plans to reduce its ownership in the cement company and earn more money from outside Nigeria. They hope 90 percent of their money will come from outside the country.