President Bola Tinubu has brokered a significant investment deal with Danish shipping giant A.P Moller-Maersk, securing $600 million to bolster Nigeria’s existing port infrastructure and accommodate larger container shipping services.
The announcement came during a meeting between President Tinubu and Mr. Robert Maersk Uggla, Chairman of A.P Moller-Maersk, held on the sidelines of the World Economic Forum Special Meeting on Global Collaboration, Growth, and Energy for Development in Riyadh, Saudi Arabia.
Mr. Uggla expressed A.P Moller-Maersk’s confidence in Nigeria’s potential and commitment to invest in expanding port facilities to cater to bigger ships. He emphasized the importance of Nigeria, as the most populous country in Africa, having top-notch port infrastructure. A.P Moller-Maersk has already made substantial investments exceeding $2 billion in Nigerian ports and related activities.
Recognizing the opportunity for Nigerian ports to handle larger container ships, Mr. Uggla highlighted the necessity of enhancing port infrastructure, particularly in Lagos, to serve as a hub for logistics services. He emphasized the significant growth potential and the need to reduce logistics costs.
In response, President Tinubu welcomed the $600 million investment, which aligns with the government’s ongoing $1 billion investment in seaport reconstruction across eastern and western seaports. He emphasized the importance of modernizing ports and implementing processes like the national single window project to enhance trade facilitation and transparency while reducing corruption.
President Tinubu underscored Nigeria’s commitment to fostering a conducive business environment and encouraging further investments. He cited previous successful partnerships with Maersk, including the development of the Ogun State container terminal, as evidence of the country’s dedication to fruitful collaborations with reputable companies like A.P Moller-Maersk.
The investment from A.P Moller-Maersk is expected to significantly enhance Nigeria’s port infrastructure, improve efficiency, and bolster trade facilitation, aligning with the government’s vision for economic growth and development.