In a landmark move to diversify the Nigerian economy, President Bola Tinubu has announced an unprecedented N1 trillion allocation to the solid minerals sector as part of a broader N4.5 trillion increase to the 2025 national budget.
The investment, declared the largest single injection into Nigeria's mining industry, is designed to fund extensive geo-scientific exploration, detailed geological surveys, and critical infrastructure in mineral-rich regions.
Tinubu unveiled the strategic initiative on Tuesday at the opening ceremony of the 10th Nigeria Mining Week, held in the nation's capital.
He stated that the move is central to his administration's Renewed Hope Agenda, aiming to create jobs, stimulate industrialization, and bolster foreign exchange earnings.
"We made the historic decision to increase the 2025 national budget by N4.5 trillion, with an extra N1 trillion earmarked for the solid minerals sector," the President said in an address delivered on his behalf by the Secretary to the Government of the Federation, Senator George Akume.
"This investment will enhance our economic resilience by reducing dependence on volatile oil markets and creating alternative revenue streams," he said.
The President pointed to the sector's recent performance as evidence that his reforms are yielding results, noting that revenue generation had surged from N6 billion in 2023 to over N38 billion in 2024, a more than sixfold increase driven by improved policy and oversight.
Corroborating the sector's progress, the Minister of Solid Minerals Development, Dr Dele Alake, revealed that the sector’s contribution to the nation’s Gross Domestic Product (GDP) has now risen to 4.6 per cent.
"Our policies are working. With sustained collaboration, Nigeria’s solid minerals sector will soon become a major global revenue source and a catalyst for inclusive growth," Alake said, adding that Nigeria's mining framework has become a model for transparency and environmental responsibility in Africa.
Legislative support for the executive’s vision was affirmed by the Chairman of the Senate Committee on Solid Minerals, Senator Ekong Sampson. He pledged the National Assembly’s commitment to backing the reforms through enabling legislation and collaboration with industry stakeholders.
In a related development, the Minister of Steel Development, Prince Shuaibu Abubakar Audu, outlined ambitious plans to revive the nation's steel industry, a move expected to create massive downstream demand for local minerals.
Audu announced that the government aims to achieve 10 million tonnes of liquid steel production annually by 2030. The commissioning of the Ajaokuta and Delta Steel companies alone, he noted, would require approximately 8 million tonnes of local raw materials like iron ore, limestone, and coal each year.
"The time to act is now. A vibrant steel industry will fuel demand for local minerals and ignite a chain reaction of growth across the economy," the Steel Minister said, projecting that the initiative would create over 500,000 direct and indirect jobs.
The President concluded by mentioning the strategic establishment of the Nigeria Solid Minerals Company as a vehicle to promote local processing and ensure that the nation's subterranean wealth translates into tangible prosperity for its citizens.
"Our goal is clear: to turn our minerals into miracles of development. The wealth beneath our feet must translate into prosperity in our hands," he said.
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