By Peace Udugba
The Dangote Group has strengthened its strategic partnership with the Africa Finance Corporation (AFC) through the signing of a $600 million loan agreement to support the expansion of its fertilizer production capacity, a move expected to boost food security across Nigeria and the African continent.
The loan facility, provided to GreenView Fertilizer Corporation (GreenView), the Dangote Fertilizer holding company, will partly finance the expansion of urea fertilizer production in Nigeria and support the development of a new fertilizer plant in Ethiopia.
The investment forms part of Dangote Group’s broader $7 billion fertilizer expansion programme, which is expected to increase the company’s production capacity in Nigeria from 3 million metric tonnes per annum (MTPA) to 9 MTPA. The programme will also support the construction of a new 3 MTPA urea fertilizer plant in Ethiopia.
According to the company, the expansion is expected to significantly boost Africa’s fertilizer production capacity, strengthen regional food security, improve agricultural productivity, and reduce the continent’s dependence on imported fertilizer.
The financing further reflects AFC’s confidence in Dangote Group’s vision of driving industrial growth and agricultural transformation through large-scale investments in critical infrastructure.
The funds will be deployed toward the expansion of the Dangote Fertilizer Plant in Ibeju-Lekki, Lagos State, one of the largest granulated urea fertilizer complexes in the world.
The expansion is expected to increase production capacity, improve supply chain efficiency, and ensure a more reliable supply of high-quality fertilizer to farmers across Africa. It is also projected to reduce fertilizer imports, stabilize market prices, and improve agricultural yields, thereby strengthening Africa’s food security framework.
Speaking on the development, President of Dangote Group, Aliko Dangote, said the expansion would generate more than $4 billion annually in export earnings within the next three years.
According to him, the project will make a significant contribution to Nigeria’s foreign exchange earnings through fertilizer exports.
“What he’s actually given us this money for is a company whereby, within the next three years, we’ll be able to have exports of over $4 billion worth of urea fertilizer, and I think it is a big contribution to the foreign exchange income of the country,” Dangote said.
He added that Dangote Group remains committed to growing alongside African institutions, noting that the company’s ambition to reach a valuation of $100 billion by 2030 is tied to partnerships with organizations such as AFC and other leading African financial institutions.
Commenting on the transaction, AFC President and Chief Executive Officer, Samaila Zubairu, described the deal as a demonstration of the corporation’s capital recycling model.
“This transaction demonstrates AFC’s capital recycling model in action. Following the successful repayment of our earlier investment in Dangote Industries Limited, we are redeploying and doubling that capital into Dangote Group’s next phase of growth,” he said.
Zubairu noted that AFC’s support for the fertilizer expansion project reflects its commitment to backing proven African industrial champions whose investments can strengthen food security, reduce import dependence, and create long-term economic value across the continent.
The Dangote Fertilizer Plant currently plays a key role in meeting domestic fertilizer demand while supplying international markets and generating foreign exchange earnings for Nigeria.
With the planned expansion, the company aims to further consolidate its position as a leading player in the global fertilizer industry.
