Nigeria on track to attract $20bn FDI in 2026, Tinubu says

President Bola Tinubu has said Nigeria is on course to attract close to $20 billion in foreign direct investment in 2026 alone. He attributed this to his administration's removal of regulatory bottlenecks, macroeconomic stabilisation and transparency reforms.

Tinubu spoke at the Africa CEO Forum in Kigali, Rwanda, where he appeared on a presidential panel moderated by British journalist Zainab Badawi. Gabonese President Brice Clotaire Oligui Nguema was also on the panel.

Tinubu argued that Africa must stop exporting raw materials and importing finished products. He said the continent must finance its own development from its resources.

“Removing all the bottlenecks gives you the necessary incentives for direct foreign investment into the country,” Tinubu said. “This year alone, I can beat my chest that Nigeria is attracting close to $20 billion in foreign direct investments.”

Value addition and local processing

On value addition, Tinubu said the era of exporting unprocessed resources from Nigeria was over. “No one can take metal out of Nigeria without adding value. You can excavate the dust, all the minerals, and go, but no. I can produce batteries for cars with my minerals,” he said.

He added that rare earth minerals are valuable and should be used as a balance sheet item to raise capital for exploration and production.

Dangote refinery and naira crude sales

Tinubu said the Dangote Petroleum Refinery, which produces 650,000 barrels per day and meets about 70 per cent of Nigeria's fuel needs, was only possible through a government-private sector partnership. “Nigeria could not survive with over 200 million people in peace without a refinery. A risk-taker like Dangote must be encouraged by the government,” he said.

He explained that his administration supports Dangote with free trade, a licence and help sourcing crude. “Today he is a net exporter of petroleum motor spirit, aviation fuel and other commodities,” Tinubu said.

On cross-border payment challenges for crude sold to the domestic refinery in naira, Tinubu said: “My formula is: what is the denominated currency in Nigeria? That is the naira. I have crude that you expect me to export, so I give you, as my local refinery, crude in naira. No letter of credit, no bank scrambling, no exchange rate instability.”

Credit rating agencies and tax reform

Tinubu challenged the dominance of Western credit rating agencies, arguing they consistently undervalue African economies. “Have the rating agencies visited Rwanda and seen the potential, the tourism, the 9.4 per cent growth last year?” he asked.

On tax reform, he cited the Lagos model, noting that Lagos is now the fifth-largest economy in Africa. “Tax reform must be written in English, understandable and not Japanese in English, a standard that everyone is able to pay,” he said. He added that Nigerians can now pay taxes from their phones.

Agriculture and infrastructure

Tinubu said the government has established 6,000 mechanised agricultural zones across Nigeria, a buy-back programme for farmers, and the Sokoto-Badagry road, a 1,000-kilometre concrete highway. “Gone are the days when agriculture is no longer sexy,” he said.

He disclosed that Nigeria has laid over 90,000 kilometres of fibre optic network. “That is the only way we can bring lessons to children and communicate with farmers and ordinary traders,” he said.

Speaking on Nigerian youths, Tinubu said: “I am a politician. If I don't get them ready for that digital revolution, they'll vote me out.”

He called for the full activation of the African Continental Free Trade Area. “Africa needs to put its money where its mouth is. The African Continental Free Trade Area should not be left on the drawing board; it should be activated properly, with regional collaboration and effective utilisation of our resources,” he said.

The Africa CEO Forum runs through Friday in Kigali. It is the continent's largest gathering of business leaders and heads of state.