AFC commits $600 million to Dangote Fertilizer expansion in Nigeria and Ethiopia
via The Reporter Ethiopia1 min read
The African Finance Corporation AFC has committed $600 million to Dangote Fertilizer Limited's expansion program, which aims to invest a total of $7 billion in projects across Nigeria and Ethiopia. Dangote Group plans to increase its urea production capacity in Nigeria to nine million metric tonnes annually. Additionally, a new fertilizer plant under construction in Ethiopia's Somali Regional State is projected to produce up to three million tonnes annually by 2029. The AFC, a pan-African development finance institution, stated that its investment supports large-scale industrial projects on the continent, emphasizing the importance of expanded local fertilizer production for food security and agricultural resilience. This investment aligns with efforts by African governments to enhance agricultural productivity amidst increasing food demand, climate challenges, and global commodity market disruptions. Aliko Dangote, president and chief executive of Dangote Industries Limited, highlighted that this investment will bolster Africa's agricultural sector and industrial base. Ethiopia signed a membership agreement with the AFC in 2023, which was ratified by its parliament two years later, without an ownership stake at that time.
Free daily or weekly digest of the most important stories from across 18 African countries. No spam, unsubscribe any time.
This summary was AI-generated from a story originally published by The Reporter Ethiopia.
In its 23rd foreign currency auction since August 2024, the National Bank of Ethiopia NBE recorded a weighted average bid of 158 Birr per US dollar from sixteen commercial banks. This auction, which was postponed from last week, offered USD 100 million, with eight banks submitting successful bids. The lowest successful bid was 157.99 Birr per USD. This amount represents a significant decrease from the previous auction, where the NBE offered USD 500 million. The NBE's foreign currency sales to commercial banks are part of the government's economic reforms and an ongoing IMF program. The next auction, also valued at USD 100 million, is scheduled for June 24, 2026.
BreakingIran and the US are scheduled to sign an agreement on Friday that could lead to the reopening of the Strait of Hormuz to maritime traffic. The Associated Press reported that the two countries reached an understanding today, with representatives set to meet in Switzerland to formalize the agreement. Pakistani mediators were cited by AP as confirming the development. Iranian deputy foreign minister, Kazem Gharibabadi, confirmed the agreement on state television, and US leader Donald Trump has reportedly ordered an end to his country鈥檚 naval blockade of Hormuz. If implemented, the deal could facilitate the resumption of oil and natural gas shipments from the Gulf. However, ongoing issues such as Israel鈥檚 attacks on Lebanon and US objections to Iran鈥檚 enriched uranium stockpile remain, posing potential threats to the fragile agreement.
Must ReadThe Ethiopian National Dialogue Commission ENDC announced that the National Dialogue Conference will officially commence on July 15, 2026, in Addis Ababa. Commissioner Mesfin Araya Prof. stated that this marks the final phase of the four-year peace initiative. The assembly is scheduled to last three weeks and will gather selected representatives from across the country to address political and societal divisions. Delegates are instructed to arrive in the capital a week prior for pre-dialogue activities. The conference follows a preparatory process that collected public agendas from 1,234 woredas across 12 regions, Addis Ababa, and Dire Dawa city administrations, also including the Ethiopian diaspora. Mesfin emphasized that the convention's goal is to foster debate on foundational issues and achieve lasting consensus. The ENDC was established by Parliament in February 2022 to promote national consensus and address historical ethnic polarization and internal conflicts. Mesfin extended an invitation to political and civil factions that have not yet participated, stating the Commission's door remains open.