First Abu Dhabi Bank (FAB) is planning to set up an office in Lagos, Nigeria, marking a big step in its effort to grow in sub-Saharan Africa.
Martin Tricaud, the Group Head of Wholesale Banking at FAB, made this announcement at the first Investopia Africa event in Lagos.
FAB is already working with Afreximbank to provide a sizable $1.126 billion to fund the first phase of the Lagos–Calabar Coastal Highway.
During a panel discussion including Lagos State Governor Babajide Sanwo-Olu and Nigerian Ports Authority Managing Director Abubakar Dantsoho, Tricaud said that FAB currently operates in 21 countries and Nigeria would soon be the 22nd. He noted that this move follows careful consideration, as the bank is convinced that it needs a presence in sub-Saharan Africa, mentioning existing locations in Egypt and Libya.
Tricaud explained that FAB sees Africa as a key part of the world economy’s future, with the continent growing at a rate of 6% to 8% each year. He pointed out that the population, which is currently 1.4 billion and could reach 1.8 billion in the coming years, presents a significant opportunity. After exploring several options, FAB decided that Nigeria, specifically Lagos, is the perfect place to start its sub-Saharan African operations. The representative office is expected to open very soon.
Tricaud added that the Lagos office will not only develop FAB’s business in Nigeria but also serve the entire West African region, recognising Lagos’ role as a financial centre.
Discussing investments from the United Arab Emirates in Nigeria, Tricaud mentioned that the UAE has a strong presence in both traditional and renewable energy. Because of this, it was natural for them to look at energy first. Nigeria is a major oil and gas producer, and FAB has built strong relationships and conducted business with several public and private sector companies.
He added that while the energy sector is a good start, they believe there are more opportunities for investment. Tricaud expressed pleasure in working with the Ministry of Finance, HITECH, and the Chagoury Group to play a role in financing the Lagos–Calabar coastal project. He stated that he visited the construction site and was impressed by the progress and the positive impact it will have on the local economy.
Tricaud also mentioned that FAB works with other groups to raise capital.
He stated that they have gathered a large amount of capital, with help from partners like the Islamic Development Bank, which shows that Nigeria can attract international investment for infrastructure projects. He believes this is just the start, with more to come in areas like roads and highways.
In related news, Lagos State Governor Babajide Sanwo-Olu recently met with the UAE Minister of Investment, H.E. Mohamed Hassan Alsuwaidi, at the Eko Convention Centre for the Nigeria–UAE Investment Forum, Investopia Global Africa.
Sanwo-Olu said that their discussions centred on how Nigeria and the UAE can increase investment and boost growth. He stated that Lagos is ready to partner with both local and international investors by investing in infrastructure, improving the business environment, and ensuring the state is safe for business.
Sanwo-Olu added that Lagos needs partners who share their ambition to grow at the desired pace. He concluded that the engagement was a step in the right direction and is confident that the groundwork laid will lead to real results for the economy.
