The Nigerian Association of Chambers of Commerce, Industry, Mines and Agriculture (NACCIMA), and other stakeholders in the mining industry have sought increased investments in Nigeria’s mining sector, adding that if well managed the volume of iron ore alone can generate over $60 billion annually.
NACCIMA and the stakeholders emphasised the need for policy implementation to encourage investors interested in the sector.
Shehu Sanni, the President of the Miners Association of Nigeria, revealed that for the sector to grow, there is the need for a conscious and deliberate action that is strategic and timeline based. He said that the 30 billion naira intervention presented by the Nigerian government to salvage the sector is inadequate.
Sanni said “what the sector needs is not 30 billion naira, but sustainable funding for a very long time. For instance a declaration can be made to say five percent of the national budget should be set aside for the development of the solid mineral sector for the next 20 years and implement it properly. This is the kind of investment that would bring life into the sector”.
The National President of NACCIMA, Iyalode Alaba Lawson pointed out that across the world, financing mining is a difficult task, stressing that in Africa it is even more difficult due to the fact that unlike crude oil, mining is a long haul and comes with a lot of risks for investors.
According to her, some challenges hindering the sector include political instability, absence of appropriate mining policy and environmental laws and regulations, lack of human resources and the expertise to handle mining administration.
Lawson said NACCIMA was committed to the full harnessing of the potentials of the mining sector and its entire value chain.
Sanni appealed to the other other players in different sectors of the economy to show interest in investing in mining, saying there must be collective interest to complement the Nigerian government’s efforts to revive the sector.