Dangote Eyes US$1 Billion Zimbabwe Cement, Coal Investment

Africa’s richest man, Aliko Dangote, is expected to visit Zimbabwe soon to finalize plans for a massive investment project valued at approximately US$1 billion, covering cement production, coal mining, and power generation.

The Nigerian billionaire will meet President Emmerson Mnangagwa and senior government officials during the visit to conclude discussions on the ambitious venture that could transform Zimbabwe‘s industrial landscape.

Exclusive sources familiar with the planned engagement say Dangote’s business interest will enhance Zimbabwe‘s profile as an attractive destination for foreign direct investment while creating significant development and job opportunities.

The proposed investment aligns with the government’s Vision 2030 goal of building a modern, empowered, and prosperous nation—a development blueprint that has struggled to attract the scale of foreign capital Zimbabwe needs.

Dangote heads Dangote Industries Limited, a Lagos-based conglomerate with extensive operations in cement, flour, sugar, salt, pasta, beverages, fertilizer, real estate, oil, gas, and logistics spanning 17 African countries.

Sources indicate that in Zimbabwe, the Dangote Group intends to establish a cement factory, limestone quarry and grinding plant, coal mine, and power station. The cumulative valuation ranges between US$800 million and US$1 billion.

This is not Dangote’s first encounter with Zimbabwe‘s investment landscape. The billionaire previously visited the country in 2015 and 2018 to explore similar ventures, but those plans failed to materialize.

The reasons for the earlier collapse remain unclear, though Zimbabwe‘s economic instability, policy inconsistency, and infrastructure challenges during that period likely contributed to Dangote’s decision to invest elsewhere.

The renewed interest is reportedly driven by outreach from executives of Harare-based financial advisory firm Bard Santner Markets Inc. and Zimbabwean journalist-turned-business facilitator Mrs. Josephine Mahachi.

Bard Santner, which specializes in corporate finance, asset management, and wealth management, first engaged Dangote during the 32nd Afreximbank Annual Meetings in Abuja, Nigeria, held from June 25 to 28, 2025.

During the Afreximbank event, Dangote emphasized the importance of Pan-African investments, regional economic development, and value addition under the African Continental Free Trade Area agreement, which Zimbabwe actively participates in.

Following the meeting, Bard Santner executives, led by Chief Executive Officer Mr. Senziwani Sikhosana, held follow-up discussions with Dangote and visited his operations in Nigeria and Zambia to better understand his business model.

Those site visits proved crucial. Seeing Dangote’s operations firsthand allowed the Zimbabwean facilitators to appreciate the scale, efficiency, and integration that characterize the conglomerate’s investments across Africa.

The Dangote Group currently operates across 17 African nations. Dangote Cement maintains a presence in ten countries, including Nigeria, Cameroon, Ghana, Senegal, Sierra Leone, Ethiopia, South Africa, Zambia, Tanzania, and the Republic of Congo.

The conglomerate is also developing a large-scale fuel storage and distribution hub at Walvis Bay, Namibia, to supply gasoline and diesel across Southern Africa—a project that could eventually service Zimbabwe‘s perennial fuel needs.

For Zimbabwe, attracting Dangote represents more than foreign investment. It signals confidence from Africa’s most successful industrialist in a country that has struggled with international isolation, currency instability, and infrastructure decay.

The proposed cement factory addresses a critical need. Zimbabwe imports substantial quantities of cement despite having abundant limestone deposits. Local cement production has declined over the years due to aging equipment and operational challenges at existing plants.

A Dangote cement facility could not only meet domestic demand but also position Zimbabwe as a regional cement exporter, particularly to neighboring countries experiencing construction booms.

The coal mining component taps into Zimbabwe‘s significant coal reserves, estimated at over 30 billion tonnes. However, most coal deposits remain unexploited due to lack of investment and outdated mining technology.

Dangote’s expertise in integrated industrial operations—where coal mining feeds power generation, which in turn supports cement production—could create a self-sustaining industrial ecosystem.

The power station element is equally significant. Zimbabwe faces chronic electricity shortages that cripple manufacturing, mining, and household consumption. Any investment that adds megawatts to the national grid receives urgent priority from the government.

Sources say Dangote’s investment in Zimbabwe will hinge on negotiations regarding mining concessions, licenses, tax incentives, work permits for experts, and security of investment.

These conditions are standard for major foreign investors but have proven contentious in Zimbabwe‘s political environment. Previous high-profile investors have complained about bureaucratic delays, policy reversals, and unpredictable regulatory changes.

The security of investment concern is particularly sensitive. Zimbabwe‘s history of controversial land seizures, indigenization policies, and inconsistent application of regulations creates nervousness among foreign investors regardless of government assurances.

Dangote’s team will likely demand clear legal frameworks, international arbitration clauses, and guarantees against expropriation or sudden policy shifts that could jeopardize hundreds of millions of dollars in capital investment.

Tax incentives represent another negotiation area. While Zimbabwe needs revenue, competing regional destinations offer generous tax holidays and duty exemptions to attract anchor investments of Dangote’s magnitude.

Work permits for expatriate experts often become politically charged in Zimbabwe, where unemployment exceeds 80 percent by some estimates. However, Dangote’s operations typically involve significant technology transfer and skills development for local workers.

Officials and facilitators have declined to comment in detail, stating that announcements will be made at the appropriate time. This silence suggests negotiations remain delicate, and premature publicity could complicate discussions.

Zimbabwe has increasingly attracted investors under the Second Republic, which has focused on creating a conducive business environment, according to government statements.

However, critics argue that while President Mnangagwa’s administration has improved on some policy fronts, fundamental challenges, including currency instability, debt overhang, and sanctions, continue deterring major foreign investments.

Dangote’s planned investment would represent a potential milestone for Zimbabwe‘s industrial and economic growth if it materializes. The key word remains “if”—given the failed attempts in 2015 and 2018.

For Dangote, Zimbabwe offers strategic advantages: abundant raw materials, a relatively educated workforce, and geographic positioning to serve the Southern African Development Community market.

But the billionaire did not become Africa’s richest person by taking unnecessary risks. His investment decisions are famously methodical, data-driven, and conditional on stable operating environments.

As preparations continue for his visit, both Zimbabwean officials and ordinary citizens watch with cautious optimism. The country has endured too many announced investments that never broke ground to celebrate before shovels hit soil.

If Dangote commits his billion dollars to Zimbabwe, it could catalyze additional foreign investment by demonstrating that the country has genuinely turned the corner on its troubled economic past.

If negotiations collapse again, it will reinforce perceptions that Zimbabwe remains too risky for the continent’s premier industrialists—a verdict the country can ill afford as it struggles to rebuild its shattered economy.