Nigerian billionaire and chairman of United Bank for Africa (UBA) Plc, and Heirs Holdings Group, Tony Elumelu has called on the government of Cameroon to recognise the private sector as partner in development, not competitor, urging pro-business reforms that that can curb bureaucracy, reduce excessive taxation, and accelerate business.
An investor in Cameroon since 2008, the Chairman of UBA told a press conference in Yaounde that “administrative bureaucracy” is delaying construction of the Central Africa Regional Office of the financial institution in Yaounde announced two years ago.
“I think we have some administrative bureaucracy, but I believe we’re finalising everything to enable us kick off with it,” Elumelu answered when asked about the UBA Central Africa Regional Office construction project during the press conference Thursday, February 27.
At the invitation of President Paul Biya, Elumelu was special guest at the inaugural Cameroon Economic Meetings that held in Yaounde from February 27-28. His encounter with the press followed shortly after he had delivered a keynote address at the gathering that had in attendance policymakers, business executives, and investors.
Convened by the Cameroon Employers’ Association (GECAM), the forum chaired by the Prime Minister and Head of Government, Chief Dr. Joseph Dion Ngute, aimed at reviving the Cameroonian economy in the context of profound global economic change.
In his keynote remarks, Elumelu noted that Cameroon, with its strategic position in Central Africa, has the potential to be a major economic hub. “Cameroon should, indeed must, play a key role in development of the African economy,” Elumelu said, but added that this can only happen with the right investment in infrastructure. For this to happen in Cameroon like in any other African country, the Nigerian billionaire and firm believer in Africapitalism said governments must recognise that the private sector is not a competitor but a partner in economic development.
Bureaucracy hindrance to economic transformation
One of Africa’s richest men, Elumelu, also spoke about bureaucracy as a hindrance to economic transformation and progress, urging government policies that encourage and not stifle business growth. He said for Africa to succeed, and for Cameroon to succeed, government and business need to unite, to invest for the long term, not just the short term emphasizing that both must all be strategic and purposeful.
“We need pro-business reforms that reduce bureaucracy, reduce excessive taxation, and accelerate the ease of doing business,” Elumelu said. Other key priority areas which the Nigerian investor recommended that the government should focus on to boost the economy include security and rule of law, infrastructure development, youth empowerment, global investment attractiveness and public-private partnerships.
The administrative bureaucracy notwithstanding, the chairman of Heirs Holdings Group unveiled plans of diversifying business operations in Cameroon. Heirs Holdings’ multi-sector investment portfolio spans energy, financial services, healthcare, technology, real estate and hospitality, spread across four continents.
After 17 years in the Cameroon financial services sector with Africa’s Global Bank UBA, Elumelu expressed his commitment to investing in Cameroon’s energy sector, noting that reliable electricity supply is a key driver of economic development.
Plans to expand investments in Cameroon
Elumelu’s Heirs Energies that has become one of the fastest-growing indigenous integrated energy businesses in Africa recently convened government and private sector stakeholders in Abuja to chart how both can unite to unlock greater economic opportunities.
“I welcome such initiatives across Africa, and particularly in Cameroon as a fellow energy producing country,” Elumelu said. In an audience earlier with the Cameroon Prime Minister, the Nigerian investor was clear: “We want to invest in the electricity sector in Cameroon too, from generation to also distribution”.
Elumelu’s UBA is the second most bank in Cameroon and sixth biggest financial institution in the country offering employment to over 1,000 locals and supporting major economic projects, including the financing of the country’s landmark Olembe Stadium that hosted the opening and closing ceremonies of the 2021 Africa Cup of Nations tournament.
Through his entrepreneurship-focused philanthropy in Africa – the Tony Elumelu Foundation, the investor has funded, mentored and trained 687 entrepreneurs who have received $2.8 million non-refundable seed capital and have in turn created 6,844 jobs and contributed over $139 million in revenue to the economy of Cameroon.
But Elumelu thinks more still has to done. “We think there’s so much to do,” Elumelu told journalists at the press conference. “The economy is growing, can grow faster. We want to be embedded and to be part of the solution to the economy of this country. To us, it’s not just about profit-making, it’s about being empathic, being catalytic, helping to develop the country,” he stated.
