The economic ties between Nigeria and Germany have reached new heights as pivotal agreements were inked during the 10th German-Nigerian Business Forum held in Berlin.
At the forum, President Bola Tinubu emphasized Nigeria’s resilient democracy as a magnet for foreign direct investments, setting the stage for substantial collaborations.
The information was disclosed in a statement issued on November 21, 2023, by Chief Ajuri Ngelale, the Special Adviser to the President (Media & Publicity).
Two Memoranda of Understanding (MoUs) were signed, signaling a significant stride in bilateral relations. The first agreement involves Riverside LNG of Nigeria and Johannes Schuetze Energy Import AG of Germany, focusing on the export of gas from Nigeria to Germany. This move is poised to curtail approximately 50 million cubic feet per day of flared gas in Nigeria.
David Ige, CEO of GasInvest, expressed optimism about the Riverside LNG project, highlighting its potential to supply energy to Germany and mitigate environmental concerns in Nigeria.
”The project will supply energy from Nigeria to Germany at 850,000 tonnes per annum, expanding to 1.2 million tonnes per annum.
”The first gas will leave Nigeria for Germany in 2026, and there will be further expansion. This will extinguish about 50 million cubic feet per day of flared gas in Nigeria and open alleyways of new and greater exports of gas to Germany,’’ he said.
The second MoU, a $500 million commitment for renewable energy projects in Nigeria, was sealed between Union Bank of Nigeria and DWS Group. Farouk Gumel, Chairman of Union Bank, underscored the significance of rural inclusion in these projects, aiming to integrate more individuals into the formal economy.
Frank Otto, Chief Operating Officer of Johannes Schuetze Energy Import AG, hailed the partnership as a “big deal” for the German market, reflecting the confidence in investing in Nigeria’s burgeoning gas sector.
”We believe this would bring rural inclusion and capture more people into the formal economy. Without inclusion, there is no growth. Thank you, Mr. President,” Mr. Gumel said.
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Expressing approval for the new agreements, President Bola Tinubu reassured German enterprises that Nigeria’s stable political environment ensures the security of foreign investments into the country.
”Since 1999, we have witnessed changes in democratic governance, with peaceful transfers of power within and between parties. Democracy in Nigeria has proven to be flexible and resilient. Shake off any remnants of the military era syndrome; we have moved beyond that. Despite challenges faced by other African nations, Nigeria stands firm, and we are your partners,” the President declared.
Highlighting accomplishments during his tenure, such as widely praised economic reforms, the President underscored his dedication to maintaining these reforms and fostering robust Nigerian-German ties.
”For those who feared various obstacles; look at me—I come from the private sector, trained by Deloitte. I served as the treasurer in Exxon Mobil. Define corporate governance in any way, and I am in it. I governed Lagos for eight consecutive years. Today, I can proudly beat my chest that Lagos state is on the horizon and the fifth-largest economy in Africa, rising from ground zero. This is the track record that led me to the presidency.
”Nigerians voted for me for reforms, and from day one of my inauguration, I implemented the reforms. My inaugural speech did not disclose what I would do. I removed the fuel subsidy that is a great burden to Nigerians from the moment I stepped into office.
”The arbitrage regime is gone forever. Now, you can bring your money in and out as you wish. If you encounter any problems, rest assured that I have built one of the most reliable teams Nigeria has seen to address them. I appeal to you to forget the past and focus on building a relationship that removes obstacles, fostering progress and prosperity in Nigerian-German relations.
”You can rely on us; we can rely on you; both of us can chorus Hallelujah at the same time,” the President concluded.
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