Aliko Dangote Announces Major Expansion and New Investments in Ethiopia

Addis Ababa, Ethiopia – February 15, 2025 – Dangote Group, Africa’s leading industrial conglomerate, and Ethiopian Investment Holdings (EIH) have unveiled a major expansion plan, reinforcing Ethiopia’s position as a premier investment destination in Africa.

Speaking about the new investments, Aliko Dangote, Chairman and CEO of Dangote Group, stated:

“I am always happy to come to Ethiopia. My discussions with His Excellency, the Prime Minister, during my recent visit, along with the visible development in the country, have been truly inspiring. Our 2.5 million-ton cement plant in Mugher remains a key asset in our portfolio. While we have faced challenges, I am pleased with this investment and delighted to announce that we have successfully repatriated 100% of our loans and dividends.”

After successfully commissioning the Dangote Refinery, one of Africa’s largest industrial projects, Mr. Dangote initially planned to pause major new investments. However, Ethiopia’s improving investment climate and his meeting with the Prime Minister have reshaped his perspective. As a result, Dangote Group will double its cement production capacity in Ethiopia.

Dr. Brook Taye, CEO of Ethiopian Investment Holdings, welcomed the expansion, emphasizing Ethiopia’s commitment to fostering private-sector growth:

“Ethiopia is undergoing a significant economic transformation that prioritizes industrialization, investment, and job creation. We are pleased to see Dangote Group expanding its footprint in our country. This investment is a strong signal of confidence in Ethiopia’s business environment and will significantly contribute to our infrastructure and economic growth.”

Key Announcements:

• A second production line at the Dangote Mugher cement plant, increasing capacity to 5 million tons per annum (MTPA).
• A new greenfield grinding unit, with a capacity of 3.0 MTPA, strategically located near Addis Ababa.
• New investments in Ethiopia’s sugar industry, leveraging Dangote’s experience in developing a 60,000-hectare sugar plantation in Nigeria to expand and enhance operations at the Omo Kuraz sugar company in Ethiopia.
• Future consideration of a urea production plant in Ethiopia, contingent on the development of the country’s natural gas reserves, to boost agricultural productivity.

Mr. Dangote highlighted the crucial role of African business leaders in driving the continent’s development, stating:

“Africa will be developed by Africans. As our political leaders work to strengthen the African Union, we as business leaders must complement their efforts by deepening commercial linkages across the continent.”

These investments further solidify Dangote Group’s position as Africa’s leading cement producer, raising its total capacity to 55 million tons per annum across the continent. The group’s expansion into Ethiopia’s sugar and fertilizer industries is also expected to create jobs, boost agricultural productivity, and drive industrial development.

With this expanded commitment from Dangote Group, Ethiopia continues to position itself as a regional hub for industrial investment and a key player in Africa’s economic growth.