Nigerian business mogul Tony Elumelu has called on African investors to support local markets while urging policymakers to maintain a stable and predictable business environment, underlining the importance of fostering homegrown economic growth.
- Africa faces an annual infrastructure financing gap of $108 billion, highlighting the need for collaborative investment strategies.
- Tony Elumelu emphasized the importance of stable and predictable business environments to foster sustainable investments in Africa.
- Private sector contributions represent significant portions of Africa’s GDP and employment, driving the continent’s transformation.
- Elumelu advocated for Africapitalism, reinforcing the role of purpose-driven private investment in realizing Africa’s economic potential.
Tony Elumelu, the Nigerian investor and chairman of United Bank for Africa Plc and Heirs Holdings, has urged African policymakers to create a stable and predictable business environment, describing trust as the foundation of sustainable investment.
Speaking on the theme, ‘Empowering Sustainable Growth: Unlocking Potential in Emerging Markets,’ at the Abuja Business and Investment Summit & Expo 2025 in Nigeria, Elumelu highlighted that the private sector remains the driving force of Africa’s transformation, contributing over 70 per cent of the continent’s GDP and 80 per cent of employment.
“No nation has achieved sustained prosperity without a vibrant private sector,” he said, emphasising that Africa’s economic future depends on empowering businesses to thrive under consistent and transparent policies.
Investing across Africa’s growth sectors
Elumelu’s comments reflect his experience as one of Africa’s leading investors navigating a challenging business terrain. His financial services group, UBA, operates in 20 African countries, while his holding company, Heirs Holdings, has made strategic investments across power, hospitality, and real estate.
He cautioned that inconsistent policies are undermining investor confidence across Africa, emphasising that “trust is the currency of investment — and policy stability converts trust into capital.”
Private capital powering real development
Citing examples from Heirs Holdings’ investments in Abuja, Elumelu referenced the revitalisation of the Transcorp Hilton, the Transcorp Event Centre, and reforms at the Abuja Electricity Distribution Company as proof that private capital can drive real development when supported by sound policy frameworks.
Bridging Africa’s investment and infrastructure gaps
His remarks align with recent findings from the African Development Bank (AfDB), which reports that Africa faces an infrastructure financing gap of about $108 billion annually, even as the continent gains growing influence in global trade, entertainment, and politics. Persistent policy uncertainty, skills shortages, high youth unemployment, and rising debt burdens continue to constrain economic growth across many African countries.
The business magnate said addressing these obstacles requires a new social contract between business and government, built on trust, transparency, and genuine partnership. He also called on African investors to show confidence in their own markets, he said,
“How can we expect foreign investors to invest in us, in our economies and countries, if we don’t invest in our own economies? Make your money, but please bring it and invest locally. It will be a huge disservice and act of unpatriotism to save your money in economies that already have so much.”
Africapitalism and the call for collaboration
Elumelu commended Minister of the Federal Capital Territory, Nyesom Wike, and Minister of State, FCT, Dr Mahmoud Mariya, for their infrastructure push aimed at positioning Abuja as a leading investment destination.
The address underscored his long-standing Africapitalism philosoph; the belief that private sector investment, guided by purpose, discipline, and long-term vision, is central to unlocking Africa’s economic potential.
