Nigeria: Dangote refinery can’t make up for Buhari failures, Tundra Fonder says

By David Whitehouse
Posted on Tuesday, 11 October 2022 06:00, updated on Wednesday, 23 November 2022 12:27

Nigerian President Muhammadu Buhari on 3 October 2019. REUTERS/Siphiwe Sibeko

When Swedish frontier markets investor Tundra Fonder started up in 2011, Nigeria was intended to provide the fund’s largest African exposure.

The record of President Muhammadu Buhari has left the fund, which has a five-star rating from Morningstar, with Nigerian exposure of just 3%. That compares with 8% for Egypt, 6% for Sri Lanka, where the economy has collapsed, and 3% for Kazakhstan, which has a population of less than 10% of Nigeria.

The fund looks for countries with large populations which are developing from a low base. With the same policy framework, Nigeria would have exceeded Egypt in the portfolio, fund partner Mathias Althoff tells The Africa Report. Buhari has “scared off foreign investors,” he says. “We’re very disappointed in Nigeria.“