Tinubu secures $600m seaport infrastructure investment with shipping giant Maersk

Tinubu secures $600m seaport infrastructure investment with shipping giant Maersk

President Bola Tinubu has secured an investment of $600
million from Danish shipping and logistics company A.P. Moller-Maersk to expand
existing port infrastructure to accommodate more container shipping services in
Nigerian ports.

 

Chairman of A.P. Moller-Maersk, Mr. Robert Maersk Uggla,
disclosed the decision during a meeting with President Tinubu on the sidelines
of the World Economic Forum Special Meeting on Global Collaboration, Growth and
Energy for Development in Riyadh, Saudi Arabia, on Sunday.

 

President Tinubu noted that this investment will complement
the administration’s ongoing $1 billion investment in seaport reconstruction
across the eastern and western seaports of Nigeria.

 

According to the President, it would further support the
country’s port modernisation efforts and port process automation through his
administration’s implementation of the national Single Window project, which is
aimed at enhancing trade facilitation, easing import-export flow, and reducing
corruption at the ports, while improving the efficiency and transparency of
port processes in Nigeria.

 

“We appreciate your business and the contribution you have
made and continue to make to our country’s economy over time. We do not take
our partners for granted. A bet on Nigeria is a winning bet. It is also a bet
that rewards beyond what is obtainable elsewhere.

 

“More investment opportunities are available, and my
government has worked on various reforms to encourage investments. We need to
encourage more opportunities for revenue expansion and minimise trans-shipments
from larger ships to smaller ships,” he said.

 

The President further assured Maersk of his administration’s
commitment to collaborating and creating an enabling environment for businesses
to thrive in the country.

 

He cited Maersk’s previous partnership in the development of
the Ogun State container terminal as a testament to fruitful partnerships with
the reputable logistics company.

 

Highlighting Maersk’s longstanding engagement in Africa’s
most populous nation and his belief in the future of Nigeria, A.P.
Moller-Maersk’s chairman, Robert Maersk Uggla, said his company had made
significant investments of over $2 billion in Nigerian ports and other activities.

 

He emphasised the potential for Nigerian ports to
accommodate larger container ships and stressed the need for expanding port
infrastructure to meet this demand while reducing the cost of logistics.

 

”We have seen a significant opportunity for Nigeria to cater
for larger container ships. Historically, most of the West African coasts are
already served by smaller ships. Currently, we see an opportunity to deploy
larger ships to Nigeria. To achieve this, we need to expand the port
infrastructure, especially in Lagos, where we need a bigger hub for logistics
services. The growth potential is hard to quantify.

 

”We believe in Nigeria, and we will invest $600 million in
existing facilities and make the ports accommodating for bigger ships.

 

”In my humble view, given that Nigeria is the most populous
country in Africa, Nigeria should have the best and biggest port and we are
very eager to invest. We will continue that dialogue with the relevant Nigerian
authorities to explore further investment opportunities,” the Maersk chairman
said.

Source: Tinubu secures $600m seaport infrastructure investment with shipping giant Maersk

 - NigerianEye

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