Nigeria to set up state Mineral Corporation
The federal government of Nigeria has unveiled plans to develop a state-backed company that aims to attract investments and also curb illegal mining.
Minister of Solid Minerals Development, Dele Alake, said the proposed corporation dubbed Nigerian Solid Minerals Corporation is part of the country’s broader efforts to diversify its economy away from overreliance on oil exploration and promote the mining sector as a significant contributor to economic growth.
Nigeria has faced various economic challenges, including record debt, foreign exchange shortages, inflation, power supply issues, and declining oil production. The government’s focus is shifting towards promoting investments rather than relying solely on borrowing to create jobs.
I Illegal mining
“The new corporation seeks to leverage on the attractive investment-friendly regime operating in the country. It will engage local financial institutions, which have shied away from the mining sector in the past due to a long gestation period for projects, to promote investment,” Alake said.
On the other hand Nigeria plans to establish a mines surveillance task force, and mines police, and a comprehensive review of all mining licences starting in October, with the purpose of detecting and preventing illegal mining activities. Dele said illegal miners have been given a 30-day grace period to join artisanal corporations. Six mineral processing centres will be developed to focus on value-added products.
