- Aliko Dangote shut down two of his companies due to foreign exchange challenges
- 80% of Dangote Group’s revenue will now be in dollars, easing currency risk for investors, the billionaire said in a recent interview
- Dangote also sold luxury properties abroad to focus on industrialising Nigeria and personal discipline
Pascal Oparada is a journalist with Legit.ng, covering technology, energy, stocks, investment, and the economy for over a decade.
President of Dangote Group, Aliko Dangote, has revealed why he shut down two of his companies, saying persistent foreign exchange (FX) challenges and naira volatility forced him to exit the flour and textile businesses.
Dangote disclosed during an interview with Nicolai Tangen, chief executive officer of Norges Bank Investment Management, which was posted on YouTube on Wednesday.
Credit: Bloomberg/Contributor
Source: Getty Images
The billionaire industrialist also opened up on key business decisions that shaped his empire and the personal sacrifices he made to stay focused on building industries in Nigeria.
Why Dangote exited flour and textile businesses
According to Dangote, the decision to shut down the flour and textile companies was largely driven by the severe impact of foreign exchange instability on operations.
“Yes, I exited that (flour and textile) because of the foreign exchange challenges. But today, we are very good in terms of exports,” he said.
He explained that his current business structure is stronger because it is heavily supported by export earnings, which provide access to stable dollar revenues and reduce exposure to naira depreciation, according to a report by TheCable.
This shift, he noted, has positioned the group to offer stronger guarantees to investors.
Dollar dividends for investors
Dangote disclosed that part of the group’s new strategy is a commitment to paying dividends in dollars across major businesses such as cement, refinery, petrochemicals, and fertiliser.
According to him, nearly 80 per cent of the company’s revenue will now come in dollars, making it easier for both local and foreign investors to protect themselves from exchange rate risks.
“We guarantee to pay you dividends in dollars because we are very well into exports. Eighty per cent of our revenue will be in dollars,” he said.
He added that investors still have the option of receiving dividends in naira if they prefer, but foreign investors who want to reduce currency risks can choose dollar payments instead.
Dangote said this move addresses one of the biggest concerns foreign investors face in Nigeria — difficulties in accessing foreign exchange to repatriate dividends and investment returns.
Focus on local production, not imports
The businessman said his investment philosophy has always been built around solving local problems and reducing Nigeria’s dependence on imported goods.
He described this as “backward integration” — producing locally what the country consumes daily.
“We produce what we need, and we are now producing things that when you wake up as a human being every morning, you must use part of what we produce,” he said.
This strategy, according to him, remains central to the success of the Dangote business empire.
“I sold my US, UK properties”
Dangote also revealed the personal sacrifices he made when he decided to fully commit to industrialisation in Nigeria.
He said he sold all his luxury properties in the United States and the United Kingdom, including two large mansions in the US and a house in the UK, to stay focused on building businesses at home.
“When I decided to go into the industry, I sold all my properties in the US. I had two houses in the US, big mansions, and I had a house in the UK,” he said.
He explained that owning luxury holiday homes often creates distractions, while his current lifestyle is simpler and more practical.
Credit: Bloomberg/Contributor
Source: Getty Images
“Wherever I go, I use hotels. I pay. When I leave, nobody will call me and say I have a burst pipe or something is wrong,” he added.
Dangote said his life is now built around discipline, simplicity, and a long-term commitment to growing industries that can transform Nigeria’s economy.
Dangote gains $1.3 billion in two weeks
Legit.ng earlier reported that Africa’s richest man, Aliko Dangote, is getting richer at a remarkable pace, adding billions of dollars to his fortune within weeks and strengthening his position among the world’s wealthiest individuals.
According to the Bloomberg Billionaires Index, Dangote’s net worth has climbed to an estimated $35.9 billion, marking a sharp rise of over $1 billion in just a few days.
His year-to-date gain now stands at an impressive $5.92 billion, making him one of the best-performing billionaires globally in 2026.
Source: Legit.ng