Prime Highlights
- Afreximbank committed $2.5 billion, the largest single share, in a $4 billion loan to support Dangote Petroleum Refinery’s debt consolidation and long-term growth.
- The deal is seen as a key step towards strengthening Africa’s energy security and reducing the continent’s reliance on imported fuel.
Key Facts
- Afreximbank is a pan-African multilateral trade finance institution that has invested around $15 billion in the Dangote Group since 2015.
- Dangote Petroleum Refinery, located in Nigeria, is Africa’s largest refinery with a processing capacity of 650,000 barrels of crude oil per day.
Background
The African Export-Import Bank, known as Afreximbank, has committed $2.5 billion as part of a $4 billion loan arranged for the Dangote Petroleum Refinery and Petrochemicals, marking one of the largest financing deals in African industrial history.
Afreximbank and Access Bank are jointly leading the five-year loan. The money will help the refinery pay off existing debt, improve its finances and fund future growth. Afreximbank’s $2.5 billion contribution is the largest share in the deal.
The Dangote refinery is the largest refinery and petrochemical facility in Africa. It is located in Nigeria and can process 650,000 barrels of crude oil each day. Afreximbank supported the refinery with a $1 billion working capital loan. It also created a system that allows the refinery to buy crude oil and sell products using the local currency. This started after the refinery began operations in February 2024.
Speaking at a strategy session between the two organisations in Cairo, Afreximbank President Dr. George Elombi said the bank has invested around $15 billion in the Dangote Group since 2015. He stressed the importance of backing African enterprises to build the continent’s long-term self-sufficiency and resilience.
Aliko Dangote, President of Dangote Industries, said the agreement will provide better financial support for the refinery. This will help it expand into new markets in Nigeria, across Africa and globally.
He added that the agreement is an important step for Africa. It will improve energy security, reduce dependence on fuel imports and increase the trade of refined fuel across the continent.
