The recent labor dispute between Nigeria’s Dangote Refinery and the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) appears as mere “noise” to foreign investors, according to Amaka Anku, Africa head at the Eurasia Group.
Speaking on a Channels TV interview, Anku provided crucial context that reframes the headline-grabbing confrontation as a manageable business challenge rather than a red flag for international capital.
Anku revealed that the dispute extends beyond simple union-management tensions, pointing to deeper industry dynamics at play “Dangote’s refinery is a huge disruption to the downstream industry. Right. And you have existing petroleum marketers and depot owners that see him as a threat to their business. So I see the whole dispute, people are thinking about it as unions versus Dangote, but it’s probably really Dafman versus Dangote with the unions kind of thrown in the mix.”
While acknowledging the importance of reaching resolution, Anku outlined a balanced approach respecting both parties’ concerns. “I think Dangote has to understand that there’s a right to unionize,” she stated, while simultaneously recognizing his legitimate concerns about potential business disruption, “But at the same time, you totally understand his concern about not wanting the unions to, you know, just be able to be extorting or disrupt his business.”
Despite the controversy, Anku disclosed that conversations with foreign investors revealed unwavering commitment to the Nigerian market. “I was just talking to some foreign investors who had been talking to the Dangote refinery, and the refinery is still planning loads of investments in Nigeria. And that will make all the news. About the refinery disputes it look like noise, right? If they’re still investing, they’re still, you know, focused on expanding in the Nigerian market. The message to investors is that it is noise.” she disclosed.
