South African billionaire Johan Rupert has reclaimed his position as Africa’s richest person, surpassing Nigerian industrialist Aliko Dangote. According to the Bloomberg Billionaires Index, Rupert’s net worth is now estimated at $14.3 billion, while Dangote’s stands at $13.4 billion.
Rupert, chairman of Richemont, has seen a substantial increase in his wealth, adding $1.87 billion this year. His fortune is primarily driven by the success of his global luxury goods conglomerate.
In contrast, Aliko Dangote has experienced a significant decline in his net worth, losing $1.69 billion this year. This drop is largely due to Nigeria’s challenging economic conditions, including a severe depreciation of the naira.
The naira has fallen by over 43% this year, mainly because of President Bola Tinubu’s economic reforms, such as the removal of fuel subsidies and relaxed currency controls. This currency turmoil has heavily impacted Dangote’s assets, which are tied to the naira.
Dangote Industries Limited reported a substantial foreign exchange loss of $1.07 billion in 2023, further compounded by production delays at Dangote’s refinery and a downgrade by Fitch Ratings.
Despite these setbacks, Dangote remains hopeful about the future. He is focusing on reducing the group’s reliance on the Central Bank of Nigeria for currency supply and aims to have 90% of the company’s revenue come from foreign exchange earnings by 2025.
As Johan Rupert reclaims the top spot, Dangote’s strategic shift towards international expansion and foreign exchange earnings will be crucial in managing Nigeria’s ongoing economic volatility.
