A.P. Moller-Maersk, a Danish shipping and logistics corporation, has agreed to invest $600 million with President Bola Tinubu to enhance the port infrastructure in Nigerian ports to handle more container shipping services.
$600 Million Maersk
At 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, Mr. Robert Maersk Uggla, Chairman of A.P. Moller-Maersk, revealed the decision.
This investment would supplement the administration’s existing $1 billion investment in seaport renovation across Nigeria’s eastern and western seaports, according to a statement released by President Tinubu’s spokesperson, Ajuri Ngelale, on Sunday.
Additionally, the President stated that it would through his administration’s implementation of the national single window project, which is intended to improve trade facilitation, ease import/export flow, reduce corruption at the ports, and improve the efficiency and transparency of port processes in Nigeria, support the nation’s port modernization efforts and port process automation.
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‘We value your business and the long-term economic impact you have made and will continue to make to our nation. We don’t consider our relationships to be givens. If you wager on Nigeria, you will win. It’s also a wager that pays off bigger than it could anywhere else.There are now more options for investing, and my government has been working on several reforms to promote investment. We must minimize transshipments from larger ships and promote more avenues for income growth to smaller vessels,” he declared.
The President gave Maersk his word that his administration will work together to foster an atmosphere that will allow companies to prosper in the nation.
He pointed to Maersk’s prior involvement in the construction of the Ogun State container terminal as evidence of successful collaborations with the respectable logistics firm.
Chairman of A.P. Moller-Maersk, Mr. Robert Maersk Uggla, emphasized Maersk’s long-standing involvement with Nigeria, the most populous country in Africa, and expressed his optimism for the country’s future. He stated that his firm has made major investments totaling more than $2 billion in Nigerian ports and other activities.
In order to fulfill this demand and lower logistics costs, he emphasized that Nigerian ports had the capacity to handle bigger container ships. To this end, he emphasized the necessity of developing port infrastructure.
We regard Nigeria as having a big chance to handle bigger container ships. Smaller ships have always served the majority of West African coasts. We currently see a chance to send bigger ships to Nigeria. In order to do this, we must build out the port infrastructure, particularly in Lagos, where a larger hub for logistical services is required. It is challenging to estimate the growth potential.
We have faith in Nigeria, and we intend to allocate $600 million towards enhancing current infrastructure and preparing the ports to handle larger vessels.
‘In my humble opinion, Nigeria ought to have the largest and best port in Africa because it is the most populated country. We are excited to invest, and we will keep up the conversation with the the appropriate Nigerian authorities to look into more investment potential, stated the chairman of Maersk.
