In order to facilitate more container shipping services in Nigerian ports, President Bola Tinubu has obtained a $600 million investment from A.P. Moller-Maersk, a Danish shipping and logistics company.
A.P. Moller-Maersk Chairman Mr. Robert Maersk Uggla announced the company’s decision on Sunday in Riyadh, Saudi Arabia, during a meeting with President Tinubu on the fringes of the World Economic Forum Special Meeting on Global Collaboration, Growth, and Energy for Development.
In a statement by his spokesman, Ajuri Ngelale, the President noted that this investment will complement his administration’s ongoing $1 billion investment in seaport reconstruction across the eastern and western seaports of Nigeria.
The President further stated that the national single window project, which his administration is implementing with the goal of improving trade facilitation, easing import/export flow, reducing corruption at the ports, and improving the efficiency and transparency of port processes in Nigeria, will further support the nation’s efforts to modernize its ports and automate port processes.
“We appreciate your business and the contribution you have made and continue to make to our country’s economy over time. We do not take our partners for granted. A bet on Nigeria is a winning bet. It is also a bet that rewards beyond what is obtainable elsewhere,” Tinubu said.
“More investment opportunities are available, and my government has worked on various reforms to encourage investments. We need to encourage more opportunities for revenue expansion and minimize trans-shipments from larger ships to smaller ships.”
Chairman of A.P. Moller-Maersk, Mr. Uggla, emphasized Maersk’s long-standing involvement in Nigeria, the most populous country in Africa, and expressed his business’s optimism in the country’s future. Mr. Uggla stated that his company has invested over $2 billion in Nigerian ports and other activities.
”We have seen a significant opportunity for Nigeria to cater for larger container ships. Historically, most of the West African coasts are already served by smaller ships. Currently, we see an opportunity to deploy larger ships to Nigeria. To achieve this, we need to expand the port infrastructure, especially in Lagos, where we need a bigger hub for logistics services. The growth potential is hard to quantify.
”We believe in Nigeria, and we will invest $600 million in existing facilities and make the ports accommodating for bigger ships
”In my humble view, given that Nigeria is the most populous country in Africa, Nigeria should have the best and biggest port and we are very eager to invest, and we will continue that dialogue with the relevant Nigerian authorities to explore further investment opportunities,” the Maersk Chairman said.
The President gave Maersk his word that his administration will work together to foster an atmosphere that will allow companies to prosper in Nigeria.
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