How Afeximbank emerged largest financier of Dangote Refinery

Benedict Oramah, president of Afreximbank has disclosed that the bank is the largest financier of the over $19 billion Dangote Refinery, the world’s biggest refinery of its type.

He made the disclosure last weekend during Afreximbank’s 2023 pre-annual meeting press conference for the bank’s 30th anniversary celebration in Accra, Ghana.

“We are proud to have contributed very strongly to the Dangote Refinery that will be opening on May 22. The Dangote Refinery is one of the largest heavy industries ever done on the continent because it is about $19 billion,” Oramah said.

The Afreximbank president said, “We are the largest financiers of that project. The issue of value addition is a priority for us. Most of the things we do are not just creating the goods.

“We are also helping to develop export-trading companies to create access to the market. We are also making sure that whatever we do supports the growth of regional supply trade,” he said.

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Oramah added that apart from financing industries, Afreximbank also ensured financial stability in Africa by enabling African operators in the financial system to acquire many of the international banks in the continent.

He noted that under a strategy that Afreximbank is implementing, we are making sure that these banks are acquired by African financial institutions because that is the only way to bring stability to our financial system.

“A situation where our banks are dominated by foreign-owned institutions is not all that healthy. While we welcome foreign investors, Africans should own the majority of African banks if you want to avoid instability.”

Oramah also said that the issue of climate is important but Africa and Africans are more victims than contributors to the problem.

“We do not generate the carbon that is causing all these things. Young people going to school in our villages are studying with kerosene lamps. Will you tell a child to switch off the kerosene lamp in order to be energy efficient?

“We think that the emphasis for us will be on adaptation. That is where the risks are for us. We must put pressure on those who contribute most of the carbon to reduce their carbon emission,” Oramah said.

He said that if you look at the per capita emissions and compare what you will call the targets that we have set, you will find that Africa still has headroom to emit more because we need to have the energy to run our industries.