DR. ALIKO DANGOTE: AFRIPOL PERSON OF THE WEEK

Aliko Dangote is the brainy Nigerian based entrepreneur, the founder, CEO and president of Dangote Group. He is an industrialist, a manufacturer of commodities principally food and cement. The head office of Dangote Group is in Lagos, Nigeria but company's prowess is felt across Africa and beyond. Dangote can be described as the King of cement industry due to his vast, enormous and extensive investment in cement manufacturing throughout Africa.

No other Nigerian has done more than Alhaji Aliko Dangote for entrenchment, consolidation and promotion of capitalism, market economy and free enterprise particularly in Nigeria and Africa in general. With his industry, business acumen and dedication comes a great dividend and returns that has made Dangote the richest man in Nigeria and Africa. The world renowned capitalistic magazine Forbes has quantified his personal wealth at a tune of $10.1 billion and that is not bad at all for a person who started a business from a loan he got from an uncle. For his vanguard in business and investment in Nigeria, President Goodluck Jonathan awarded him Grand Commander Order of Niger,GCON, which he richly deserved and merit.

Forbes wrote that the "Nigerian commodities titan Aliko Dangote is also Africa's cement king. In late 2010, he listed Dangote Cement on the Nigerian Stock Exchange. The company integrated Dangote's cement investments across Africa, including Benue Cement, formerly listed on the Nigerian Stock Exchange. It's now the largest company on the Nigerian exchange, with a market capitalization of $10 billion. In August, Dangote received approval from the Central Bank of Nigeria to invest $4 billion to build a new cement facility in the Ivory Coast. He's also building a $115 million cement plant in Cameroon, and owns plants in Zambia, Senegal, Tanzania and South Africa, among others. Dangote started trading commodities more than three decades ago after receiving a business loan from his uncle. He then built the Dangote Group - a leading West African conglomerate with interests in cement manufacturing, sugar refineries, flour milling and salt processing. Venerable philanthropist has given away millions to education, health and social causes."

President Jonathan decorating Dangote with award

The great thing about Aliko Dangote is his commitment to Nigeria and Africa. Most of his investments are in Africa and with that he has shown that Nigeria and other African countries can be lucrative for investments due to large returns from them. Dangote is the largest private employer of labour in the continent and jobs given has aided to slow down rampant unemployment facing Nigeria and Africa. This has given hope to the youths and has sown the seed of fruitfulness in the emerging economies of Nigeria, Senegal, Zambia and many others in Africa. Dangote can now become a tril blazer, a role model to aspiring business executive and many rich Africans that they can invest in Africa's market. Dangote is the greatest rebranding that Nigeria needs because he has shown to the whole world by his handwork and patriotism that Nigeria and indeed Africa are ready for 21st century, that a century of innovations and possibilities can be spearhead by Nigerians and Africans.

For his unflinching patriotism, business commitment and investment in today and tomorrow’s Africa's, the board and staff of Afripol Organization chose the business giant and magnate ALIKO DANGOTE, THE PERSON OF THE WEEK.

Dangote and Adenuga as symbols of Nigeria’s growing economy

The two giant Nigerian business executives Aliko Dangote and Mike Adenuga making the powerful list of Forbes 2011 Billionaires of the richest people in the world is an omen of deepening Nigerian capitalistic economy. Nigerian economy is making an impressive growth that it can produce two-ranked of the richest business executives in the world.

Aliko Dangote, the Group President/CEO of Dangote Group ranked as the richest Nigerian and African with a net fortune quantified at $13.8 billion. Mike Adenuga, founder Globacom made The Forbes 2011 Billionaires’ List for the first time with a net worth of $2 billion, which is impressive and massive amount of wealth by any standard.

Although many were speculating that Adenuga’s worth was under quantified in the Forbes ranking. Mfonobong Nsehe‘s piece posted at Forbes blog had a quote from an individual in Lagos, "Globacom has 20 million subscribers- almost as much as MTN [another wireless carrier] does. MTN is worth $30 billion. Mike Adenuga owns Globacom. How can he be worth only $2 billion? It is not possible. Have you forgotten that he also owns Equatorial Trust Bank- Nigeria’s largest privately held bank? Don’t you know that he owns Conoil Producing- Nigeria’s first indigenous　Oil exploration　company? Do you know that he owns the highest stake in Conoil Marketing? $2 billion is too small. If Mike Adenuga is poor, he’s worth at least $5 billion. You people should increase his net worth."

With $2 billion worth or more it is a herculean achievement to be at a pinnacle of capitalism in the global ranking of fellow capitalists and investors. That is a significant and enduring attainment by a Nigerian based capitalist.

Emeka Chiakwelu, principal policy strategist at Afripol commented on the growing impact the billionaires are having on Nigeria’s image and economy, "With business executives and billionaires of Alhaji Dangote and Mr. Adenuga statures, Nigerian image is being remake as a destination for capitalism, profit and land of investments. This is great for our country Nigeria, it will help to rebrand Nigeria and attract foreign investors."

The most encouraging thing about the two richest Nigerians are their unflinching confidence in the economy of Nigeria. Another issue that worth to be recognized was that all their wealth was basically made from investing and growing businesses in Nigeria. This must send the right signal to both local and foreign investors that Nigeria is ready to grow their money and yield possibly the largest dividend in Africa if not in the whole world.

Nigerian economy has been growing impressively and it is the fasted growing economy in Africa. Nigeria‘s economy is accelerating at a growth rate of 7.4 percent in the first quarter of 2011. Although the vulnerability of rising inflation at above 13 percent is being monitored by Sanusi’s Central Bank of Nigeria (CBN) and will utilized all the effective monetary policies at his disposal to rein in the rising inflationary trends.

The Nigerian billionaires must not relent on encouraging economic expansion by committing to Nigerian and African economies which have been always their hallmarks. Aliko Dangote already "has started building investments in cement plants and terminals across Africa including Senegal, Zambia, Tanzania, Congo, Ethiopia, Cameroun, Sierra Leone, Ivory Coast, Liberia and Ghana," writes Tatiana Serafin in her Forbes’ blog.

According to Serafin’s piece, Mike Adenuga’s "Globacom launched services in Nigeria in 2005, in the Republic of Benin in 2008 and has licences to operate in Ghana and Cote d’Ivoire (with Togo and Senegal next). He took a big gamble laying a $1 billion undersea fibre optic cable, Glo-1, to link Africa with the rest of the world. (Partnered with Alcatel-Lucent) The connection will help lower prices for customers as well as help Adenuga expand more quickly."

The emerging Nigerian business executives and Nigerian universities especially the business schools should look up and willing to learn from the two most successful Nigerian billionaires. Our universities must create curriculums on teaching students the models of operations and methodologies employed by the business trail blazers.

The point here is that Nigeria is already showing its relevance as a powerful emerging market by the quality of business tycoons emanating from the second largest African economy.

Afripol Organization calls for recalibrating of Nigerian Stock Exchange (NSE).

 Nigerian Stock Exchange (NSE) for sometime now is encountering numerous problems ranging from illegal and inside trading to financial mismanagement. Stock Exchange Market in global financial circle is seen as the bellwether and presage of the health of an emerging economy like Nigeria, therefore it has become necessary, if not imperative that some sort of reform must be administered and instituted in order to revamp the exchange market

 For any nation that is serious about furthering capitalism on its soil, it must acknowledge the important role occupied by Stock Exchange Market for fuelling and financing industries in the capital market. Nigeria must be very concerned about perceived integrity and transparency of her financial and capital markets for her economic growth and full participation in the current global economy.

 Aliko Dangote, President of the Nigerian Stock Exchange (NSE) recently accused the institution of being financial strapped due to mismanagement of its fund. The president of NSE stressed that the poor management and paucity of fund do not give the leverage for NSE to meet its obligations to stakeholders in the capital market.

 NSE plays a vital role in an economy of our country especially Nigeria as an emerging economy must be careful about the image and the underpinning importance of its capital market. Nigeria cannot afford to undermine the trust of the global capital market traders. The consequence will encourage capital flight and withdraw of resources from the market.

"Dangote accused NSE’s management of dipping its hands into the finances of its subsidiary, the Central Securities Clearing System’s (CSCS) accounts to borrow N 900 million to support its cash deficit position.

 Dangote further revealed that the NSE is indebted to the tune of N 119.5 million to Accenture auditing firm and that it has decided to stop additional work on executive selection, trading platform selection completion and implementation of the operating model for which the Exchange engaged its services, until all outstanding invoices are duly paid."

 Nigerian Stock Exchange (NSE) must not be allowed to become a weakened institution; for the ramifications could cause enormous damage on the growing economy. The deterioration of NSE will retard economic development in Nigeria. NSE is the contact point that brings buyers and sellers of stocks through their registered brokers. The capital and money raised by companies from capital market helps to support research and development, financing of new business entities which bolster economic development.

Nigeria with a strong population base and an expanding middle class sector, nurses the vision of becoming one of the largest economies by year 2020. The NSE can play a vital role in Nigeria’s ascendency to a well managed and optimum productive economy. Moreover the foreign investors are attracted to economies where capital can be raised for growing their companies. Nigeria cannot transform her economic woes by solely on public sector; Nigeria needs private sector with its creativity to grow her economy and starting creating ample jobs for underemployed and unemployed. A strong, reliable and well managed NSE can lay the foundation and become the catalyst for economic growth for Nigeria’s emerging economy.

Afripol Organization recognizes the significance of a self- sustaining and a healthy capital market which is key ingredient for a well regulated commerce, trade and industry in a capitalistic economy. A flourishing economy needs a reliable Stock Exchange Market.

Vincent Ogboi, Senior fellow, economic and financial analyst on African affairs at Afripol, reaffirmed the urgency for reform: "A renowned Nigerian industrialist and President of NSE, Mr. Dangote, also an insider sounded an alarm bell that the Nigerian Stock Exchange is "broke". This coming form an inside player cannot be blown off as just another empty cry for investigation of perceived enemies. The culture of pervasive corruption that has gone unabated since Nigeria’s independence has predictably taken over and erodes the trust of many in the Nigerian Stock Exchange. Once again, hard working average Nigerians who are always asked to play by the rules, are left holding the short end of the stick."

Referring to the recent history of mismanagement of priorities at NSE, expert Ogboi stressed: "The Nigerian Stock Exchange, headed by Dr. (Mrs) Okereke, is widely known for corrupt practices that are never investigated even when evidence abound. The Present Nigerian President, Mr. Jonathan Goodluck, in a swift move realizing the possible damaging impact this could bring to the comatose and oil dependent economy, sacked Mrs. Okereke. Mrs. Okereke’s position has been very controversial especially in the last few years since she started dabbling into other private business ventures that are in obvious conflict with her position as the head of the Stock Exchange. Her closeness to previous and corrupt past Nigerian politicians has certainly not helped the situation."

Emeka Chiakwelu, Principal Policy Strategist at Afripol, supports reforming NSE, "For Nigeria to move forward with a robust economic development especially in the private sector a well regulated and financially managed NSE must be present. Our country must summon the courage to do the requisite reforming of NSE to bring about a revamped outcome."

Dr. G. Stanley O'Koye, chief medical correspondent at Afripol, added that reforming the NSE can be a great tremendous help to the quality and efficiency of health care delivery in Nigeria: "when we have a solid and reliable NSE, many start-up and newly emerging biotech companies and venture capitalists in the area of health and medicine can confidently go to capital market to raise money to embark on their health care ventures. Pharmaceutical and biotech companies producing drugs can easily raise capital to manufacture their brand name drugs in the country. Therefore a corrupt free NSE can significantly help to restore health industries as thriving entities. In addition, a corrupt free NSE will facilitate the establishment of publicly traded third party insurance or health management organizations (HMO), and hence promote the delivery of quality health care to Nigerians."

Africa Political and Economic Strategic Center (Afripol) is foremost a public policy center whose fundamental objective is to broaden the parameters of public policy debates in Africa. To advocate, promote and encourage free enterprise, democracy, sustainable green environment, human rights, conflict resolutions, transparency and probity in Africa.