President Muhammadu Buhari and his Tanzanian counterpart, Dr. Jakaya, Mrisho Kikwete, have described business mogul, Aliko Dangote, as Africa’s economic stimulant whose investments have sustain economic stability and standard of living on the African continent.
The two leaders were speaking on the occasion of the inauguration of Dangote Cement’s multi-million dollars new cement plant in Mtwara, Tanzania, and groundbreaking of the 26 hectares Jetty which attracted top shots not only from Nigeria and Tanzania but also from the East Africa neighbouring countries of Ruwanda, Burundi and Democratic Republic of Congo.
Kikwete said there was no better way of rejuvenating and sustaining a nation’s economy if not through investment sustainability which opens the door of for job creation and opportunity for people to express their creative abilities.
He described the 3m mtpa cement plant as the largest cement plant in the eastern and central Africa, noting that the investment was a huge one that would have a huge impact as well as bilateral relation between Tanzania and Nigeria.
“It will go a long way in transforming our great existing diplomatic and political relations into investment and trade arena,” he noted.
Kikwete pointed that the timing of the citing of the cement plant was very auspicious, coming at a time when the demand for cement is on the upsurge and increasing both locally and regionally.
He said: “It is logical that there is a sound relationship between economic growth and booming of the construction sector whereby cement is a critical input. Tanzania is one of the countries where such relationship can easily be traced.”
To drive home his point that Tanzania is a good destination for investment, Kikwete said Tanzania has registered an average growth of seven per cent which makes her one of the top 10 fastest growing economies in Africa, and that as part of this growth, the construction sector has grown 7 per cent of the GDP in 2005/2006 to 12.5 per cent of the GDP in 2014/2015.
The President disclosed that cement price has been on the increase especially as move further away from the cities because of the shortages in supply as opposed to increasing demands, and that Dangote Cement is coming to fill the gap.
On his own part, President Buhari who was represented by the Kaduna State Governor, Mallam Nasir El-Rufai, said Dangote was a key role player in the economic development of Africa and that his investment model is in tandem with the unfolding economic policy of his government.
He said Dangote. that his investment, was teaching Africa nations the need to adopt an economic integration policy which would encourage Africans to invest in their continent rather than waiting endlessly for the elusive foreigners to come and help invest and develop Africa.
Buhari pointed out that Dangote has proved a point that though there could be challenges, there are huge returns for African investment in Africa. “Others should emulate him and partner with the government in the onerous task of job creation. As our son, we are proud of Dangote. Nigeria is very proud of him,” he said.
His government, according to him is placing an emphasis on job creation and that it would work assiduously to ensure the plan to create a million jobs is achieved.
President Buhari thanked the government and people of Tanzania for providing the enabling environment that makes business to thrive even to non-indigenes.
Also speaking, the Tanzanian Minister who represented the Tanzanian Prime Minister, Samuel Sitta, said investment remains a critical input in developing economy, adding that it was for this reason that the government has been working closely with Tanzanian Investment Centre (TIC).
Presently, Sitta explained, the government of Tanzanian is implementing some economic reforms that ensures investments run smoothly adding that reforms as well as its legal framework are being put in place as he said development depends on industrial growth and growth in industries depends on available infrastructure.
He described the inauguration and the ground breaking as significant milestone in the task of economic development of Tanzania.
Welcoming his guests earlier, Dangote said the key factor that drives investments in an economy is the presence of an investor-friendly business climate noting that indeed, Tanzania is one of the most attractive investment destinations in Africa.
This, he stated, was attested to by the substantial amount of foreign direct investments (FDI) that flows into the country, annually.
According to him, the economic reforms in Tanzania, especially in tax, public sector, financial sector, innovations in rural finance, telecommunications and infrastructure as well as revamped legislative frameworks, have produced an enabling environment that has further provided a platform for future growth. “All these factors made us consider investing in the country.
“We hope to see more foreign investors take advantage of these opportunities and invest in other sectors that will have multiplier effects on the Tanzanian economy,” Dangote said.
The latest inaugurated cement plant is part of the ongoing African expansion drive of the Pan-African conglomerate. Earlier, the company has opened its plants in Cameroon, Zambia and Ethiopia. The inauguration of the Senegal Plant and South Africa plants would follow suit according to the company’s president
