Coca-Cola Hellenic Bottling Company (HBC) has announced plans to invest $1 billion in Nigeria over the next five years.
This significant commitment was revealed during a high-level meeting between Coca-Cola’s global leadership team and Nigerian officials, including John Murphy, president and chief financial officer of Coca-Cola, and Segun Apata, chairman of the Nigerian Bottling Company.
The news has been met with enthusiasm from the Nigerian government. In a statement issued on Thursday, President Bola Tinubu lauded Coca-Cola for its long-standing relationship with Nigeria, employing over 3,000 people across nine production facilities nationwide.
Reacting to the investment, Tinubu highlighted his administration’s efforts to create a conducive environment for businesses to thrive, noting that the investment aligns with his economic vision.
“We are business-friendly, and as I said at my inauguration, we must create an environment of easy-in and easy-out for businesses,” the president stated in a message conveyed by his special adviser on information and strategy, Bayo Onanuga.
“We are building a financial system where you can invest, re-invest, and repatriate all your dividends. I have a firm belief in that.”
Tinubu emphasized that private sector partnerships play a crucial role in advancing his government’s reforms aimed at improving the business environment in Nigeria.
He also pledged ongoing support for Coca-Cola’s efforts to expand its investments in the country, particularly in addressing environmental issues like climate change.
Coca-Cola’s leadership expressed their confidence in Nigeria’s evolving business climate. John Murphy highlighted the company’s impact, noting, “We are very proud of the growth of the business over a long period and its impact on the daily lives of many Nigerians.”
He further mentioned that Coca-Cola generates ₦320 billion annually through nearly 300,000 customers and contributes almost ₦90 billion in revenue to the Nigerian government.
Zoran Bogdanovic, CEO of Coca-Cola HBC, attributed the company’s decision to commit an additional $1 billion investment to their confidence in the current administration’s policies.
“Mr President, in your inaugural address, we were very pleased to hear of your invitation for foreign investors to invest and your assurance that foreign businesses can repatriate dividends and profits,” Bogdanovic said. “That assurance gives us the confidence to continue our investments.”
He revealed that since 2013, Coca-Cola HBC has already invested $1.5 billion in Nigeria, focusing on capacity expansion, transformation of its supply chain infrastructure, and workforce development.
“I am very pleased to announce that, with a predictable and enabling environment in place, we plan to invest an additional $1 billion over the next five years.”
Bogdanovic concluded by affirming Coca-Cola’s commitment to working closely with the Nigerian government to unlock the country’s tremendous potential.
This new investment follows Coca-Cola’s November 2021 pledge to inject $1 billion into Nigeria’s economy, further underscoring the company’s long-term dedication to the Nigerian market.