Dubai World to invest $5bn in Nigeria
Energy, real estate, port development and petro-chemicals top the log in a $5 billion investment being lined up to be ploughed into Nigeria’s economy.
The investment is coming from Dubai World, the investment arm of the United Arab Emirates, and represents the first phase of its investment plan. It has investment portfolio of over $300 billion.
The investment will be made over the next five years and would be ploughed into the building of a new seaport in Lagos, a refinery and petro-chemical plant, building of new satellite city in Abuja, hotels and power plants. In the case of power plants, Dubai World will focus on the construction of coal-fired electricity generating plants with Enugu as the projected site.
A 22-man executive management team of Dubai World led by Sultan Ahmed bin Sulayem, its chairman, was in Abuja where they held strategy talks with President Umaru Musa Yar’Adua. The delegation was accompanied by their Nigerian partner, Sam Iwuajoku, chairman of Corporate Oil and Gas.
Emerging from the meeting with President Yar’Adua, reports have it that the delegation expressed interest in Nigeria’s “vast untapped natural resources with specific emphasis on minerals and mining as well as development of new cities.”
The company is coming to Nigeria with its investment profile because of its admiration for President Yar’Adua’s commitment to the rule of law, transparency and his willingness to create a clement investment environment.
“Historically, Nigeria is a major trading partner of Dubai and the purpose of our visit is not only to augment these ties, but to identify ways and opportunities to strengthen them further for the mutual benefit of both countries,” Sulayem said.
The Dubai World chairman said one of its subsidiaries, Limitless, its global master development arm, would send a team of experts to Nigeria to evaluate the investment opportunities and finalise various master planning and development deals.
Although the company has begun an aggressive investment drive into Africa, Sulayem said Nigeria offered the best investment platform because of the vast opportunities, the huge market and the potentials for better returns on investment.
According to him, the abundance of natural resources is a factor that makes Nigeria more attractive. In venturing into power plants, the company is anchoring on the abundance of coal deposits that have remained largely untapped.
Sulayem said by focusing on the utilisation of coal in the planned power plant, the company would be able to avoid the vagaries and prospects of disruption of supplies associated with gas-powered plants.
Ultimately, Dubai World’s injection of foreign capital into Nigeria in the medium term may be more than $10 billion as it ventures into the building of new cities based on the models it has used in the over 100 locations where it has built similar projects elsewhere in the world.
President Yar’Adua is expected to visit Dubai soon, as a follow-up to the investment plan.
Dubai World is Dubai’s flag bearer in global investments. As a holding company it operates a highly diversified spectrum of industrial segments and plays a major role in the emirate’s rapid economic growth. Its primary aim is to play the role of a growth engine that powers development both locally and internationally.
Dubai World’s investment spans four strategic growth areas of 21st Century commerce namely: transport and logistics; drydocks and maritime; urban development and investment, and financial services.
The investment is coming from Dubai World, the investment arm of the United Arab Emirates, and represents the first phase of its investment plan. It has investment portfolio of over $300 billion.
The investment will be made over the next five years and would be ploughed into the building of a new seaport in Lagos, a refinery and petro-chemical plant, building of new satellite city in Abuja, hotels and power plants. In the case of power plants, Dubai World will focus on the construction of coal-fired electricity generating plants with Enugu as the projected site.
A 22-man executive management team of Dubai World led by Sultan Ahmed bin Sulayem, its chairman, was in Abuja where they held strategy talks with President Umaru Musa Yar’Adua. The delegation was accompanied by their Nigerian partner, Sam Iwuajoku, chairman of Corporate Oil and Gas.
Emerging from the meeting with President Yar’Adua, reports have it that the delegation expressed interest in Nigeria’s “vast untapped natural resources with specific emphasis on minerals and mining as well as development of new cities.”
The company is coming to Nigeria with its investment profile because of its admiration for President Yar’Adua’s commitment to the rule of law, transparency and his willingness to create a clement investment environment.
“Historically, Nigeria is a major trading partner of Dubai and the purpose of our visit is not only to augment these ties, but to identify ways and opportunities to strengthen them further for the mutual benefit of both countries,” Sulayem said.
The Dubai World chairman said one of its subsidiaries, Limitless, its global master development arm, would send a team of experts to Nigeria to evaluate the investment opportunities and finalise various master planning and development deals.
Although the company has begun an aggressive investment drive into Africa, Sulayem said Nigeria offered the best investment platform because of the vast opportunities, the huge market and the potentials for better returns on investment.
According to him, the abundance of natural resources is a factor that makes Nigeria more attractive. In venturing into power plants, the company is anchoring on the abundance of coal deposits that have remained largely untapped.
Sulayem said by focusing on the utilisation of coal in the planned power plant, the company would be able to avoid the vagaries and prospects of disruption of supplies associated with gas-powered plants.
Ultimately, Dubai World’s injection of foreign capital into Nigeria in the medium term may be more than $10 billion as it ventures into the building of new cities based on the models it has used in the over 100 locations where it has built similar projects elsewhere in the world.
President Yar’Adua is expected to visit Dubai soon, as a follow-up to the investment plan.
Dubai World is Dubai’s flag bearer in global investments. As a holding company it operates a highly diversified spectrum of industrial segments and plays a major role in the emirate’s rapid economic growth. Its primary aim is to play the role of a growth engine that powers development both locally and internationally.
Dubai World’s investment spans four strategic growth areas of 21st Century commerce namely: transport and logistics; drydocks and maritime; urban development and investment, and financial services.