Aliko Dangote, one of Nigeria’s wealthiest individuals, has experienced a significant decrease in his wealth, amounting to $4.12 billion, since the liberalization of the Nigerian naira and the unification of exchange rates by the Central Bank of Nigeria (CBN). As a result, Dangote’s ranking has dropped from 72nd to 101st on the billionaire list, with his net worth currently estimated at $16.8 billion.
Last week, the FMDQ reported that the Nigerian currency depreciated against the dollar, with the official market rate reaching 663 naira compared to the previous week’s rate of 461 naira. Dangote has substantial investments in naira-denominated companies such as Dangote Cement, Dangote Sugar, and Nascon Allied Industries.
The new foreign exchange regime allows Nigerian banks to buy and sell foreign currencies at market rates determined by supply and demand, rather than being dictated by the CBN. This move aims to enhance transparency and restore investor confidence in Nigeria’s foreign exchange system.
The devaluation of the Nigerian naira directly impacts the valuation of Dangote’s assets in US dollars, leading to a decrease in his overall net worth when the naira depreciates.
According to the Bloomberg Billionaires Index, Dangote’s wealth, including earnings from Dangote Cement, Dangote Sugar, and Nascon Allied Industries, currently stands at $16.8 billion.
Furthermore, Abdulsamad Rabiu, the founder of BUA Group and a major shareholder in BUA Cement and BUA Foods, has also experienced a decline in net worth and has been removed from the list of the world’s 500 richest people according to the Bloomberg Billionaires Index.
The Bloomberg Billionaires Index, established in 2012, provides a daily ranking of the world’s 500 wealthiest individuals based on their net worth. It relies on various sources, including stock market events, economic indicators, and news reports, and offers comprehensive profiles and wealth comparison tools for each billionaire. The index is updated daily using New York closing prices.
In other news, Aliko Dangote and Microsoft co-founder Bill Gates are scheduled to meet with President Bola Tinubu in Abuja’s state capital on Monday. While the purpose of the meeting was not explicitly stated by Dangote, it is believed to be part of President Tinubu’s ongoing discussions with key leaders in local and global business.
