The President of the Dangote Group, Alhaji Aliko Dangote, and the former Central Bank of Nigeria Governor, Muhammadu Sanusi II, have called on Lotus Capital Limited to increase its investments in Nigeria's real economy. They made this appeal at the company's 20th anniversary celebration in Lagos, commending its pioneering role in Nigeria's non-interest finance sector. Dangote praised Lotus Capital's growth from a modest beginning into a successful investment institution, describing it as a remarkable achievement.
Dangote recalled the challenges of raising capital in Nigeria during Lotus Capital's early years, noting that limited banking capacity and high borrowing costs made its achievements particularly commendable. He said the company had helped develop Nigeria's financial ecosystem through Sharia-compliant investment funds, innovative products, Sukuk transactions, and the co-development of the NGX Lotus Islamic Index. Lotus Capital has raised more than ₦1 trillion to finance over 4,000 businesses and groups.
Citing the growth of global Islamic finance, whose assets reached about $6 trillion in 2024, Dangote said Nigeria could mobilize more long-term capital through Sukuk and other non-interest instruments. He identified manufacturing, infrastructure, energy, agriculture, housing, and small businesses as sectors requiring diversified financing. Dangote urged Lotus Capital to deepen its investment in productive sectors, strengthen partnerships with international financial institutions, and expand technology-driven investment products.
Speaking via Zoom, Sanusi commended the courage and vision of Lotus Capital's founder and leadership, urging the company to expand its market reach and provide more long-term financing for critical sectors. Sanusi emphasized the need for innovation, deepening the market, and increasing penetration of various sectors of the economy. He stressed that long-term finance was essential for development.
The Managing Director and Chief Executive Officer of Lotus Capital Limited, Mrs. Hajara Adeola, said the company would strengthen its support for the real economy through innovative financing for agriculture, manufacturing, real estate, and renewable energy. Adeola stated that Lotus Capital was established to promote financial inclusion by providing Nigerians with alternative investment opportunities aligned with their values and Sharia principles.
Adeola listed the company's milestones, including four Securities and Exchange Commission-registered public mutual funds, the development of the NGX Lotus Islamic Index, and the introduction of innovative investment products. She also disclosed that Lotus Capital advised the Federal Government on its first three sovereign Sukuk issuances, which financed more than 4,000 roads and nine bridges. The company played a significant role in establishing Lotus Bank.
The Chairman of Lotus Capital Limited, Mr. Fola Adeola, recounted the challenges surrounding the company's establishment when non-interest finance was largely unfamiliar in Nigeria. He expressed delight that one of the company's greatest achievements was demonstrating that different financial systems could coexist, allowing investors to choose products aligned with their faith and values. The event featured a panel discussion on innovation and governance in non-interest finance.
Key points
- Dangote and Sanusi urge Lotus Capital to expand investments in Nigeria's real economy.
- Lotus Capital has raised more than ₦1 trillion to finance over 4,000 businesses and groups.
- The company aims to strengthen its support for the real economy through innovative financing for key sectors.
