Business

LCCI survey raises concern over dwindling mining sector

The Lagos Chamber of Commerce and Industry (LCCI) has disclosed that the country’s mining sector contributed an average 0.13 per cent or less than one per cent to the national gross domestic product (GDP) in the last decade.

The chamber said this was despite Nigeria being a mineral- rich country with over 40 known minerals coupled with zeal by the Federal Ministry of Mines and Steel Development to optimize potential.

The LCCI noted that various policy efforts aimed at revitalising the sector failed to yield the desired outcomes, with solid minerals being one of Nigeria’s underperforming sectors in terms of contribution to GDP.

The LCCI in a survey titled: ‘Repositioning of the Nigerian Mining Sector for Growth: Challenges and Way Forward,’ cited by this newspaper, indicated that the contribution of mining sector to the economy had remained incredibly low at less than one per cent for decades.

This compares poorly with other mineral-rich countries in Africa such as Ghana, Guinea, South Africa, DR Congo and Botswana, where the sector contributes more than five per cent to their respective economy, the chamber reported in the survey. Particularly, the survey stated that the Nigerian mining sector remained a sleeping giant despite its huge potential. According to the LCCI, Nigeria is one of Africa’s mineralrich countries, with endowment in various mineral resources such as gold, iron ore, bitumen and zinc.

It added that these minerals were in commercial quantities across various parts of the coun- Taiwo Hassan The Lagos Chamber of Commerce and Industry (LCCI) has disclosed that the country’s mining sector contributed an average 0.13 per cent or less than one per cent to the national gross domestic product (GDP) in the last decade.

The chamber said this was despite Nigeria being a mineral- rich country with over 40 known minerals coupled with zeal by the Federal Ministry of Mines and Steel Development to optimize potential. The LCCI noted that various try.The chamber said: “The mining sector remains a sleeping giant despite its huge potential.

Between the 1960s and early 1970s, Nigeria was a leading exporter of coal, columbite and tin in the global market. The discovery of crude oil in the mid-1970s amid other socio-political and economic factors shifted government’s attention from other sectors to oil, which led to the collapse of the mining industry.

“Mining is a big business in Africa and a cornerstone of many economies with huge mineral endowment. Despite Nigeria being a mineral-rich country with over 40 known types of minerals, contribution of mining sector to the economy has remained incredibly low at less than one percent for decades. Mining activities contributed an average 0.13 per cent in the last decade. “This compares poorly with other mineral-rich countries in Africa such as Ghana, Guinea, South Africa, DR Congo and Botswana, where the sector contributes more than five per cent to their respective economy.”

Indeed, the chamber stated in the survey that since Nigeria’s transition to democratic regime about two decades ago, successive administration attempted to restructure the sector, and also attract fresh investment into the sector.

“For instance, a national focus and strategy on mining was developed in 1999, which led to the enactment of the Nigerian Minerals and Mining Act 2007. However, various policy efforts aimed at revitalising the sector failed to yield desired outcomes, with solid minerals being one of Nigeria’s underperforming sectors in terms of contribution to GDP. “The economic downturn staged by the covid-19 and weakening energy prices has yet again brought to the fore the need for economic diversification.

As the government is currently focused on diversifying its revenue base by reducing reliance on oil, mining given its huge potentials is an untapped revenue source for the Federal Government to explore,” the LCCI said. On issues and challenges in the Nigerian mining sector, the survey stressed that the Nigerian mining industry was largely underdeveloped, evidenced by its extremely low mineral rents to GDP ratio in relative to other mineral-rich African countries.

“The impact of this underdevelopment is seen in lost tax revenue to the government, lost foreign exchange earnings, limited job opportunities and lack of adequate facilities associated with a developed mining industry.

“Over the years, the sector has been confronted with myriads challenges ranging from technical to financial, which has consequently hampered its growth and development. Challenges exist around funding and attraction of new investments, security situation around mining sites, preponderance of artisanal and illegal mining operations, attendant environmental pollution, and the general infrastructural deficit,” the report said.

 

TRY IT TONIGHT!!! ---

 

Abuja Civil Servant reveals (FREE) secret Fruits that Increased his Manh0d size, gives Stronger Erections and ends Premature Erection in 7days...

   

CLICK HERE FOR FULL DETAILS.

 

%d bloggers like this:
Fake Richard Mille Replica Watches, www.richardmille.to The ceramic upper and lower cases are imported from Taiwan and are processed by ATPT ceramics to form Y-TZP ceramics. After high-tech anti-fingerprint technology, they present a delicate and soft sub-black material. This color quality has remained unchanged for a hundred years. The color and luster are more detailed to achieve the ceramic tone visual pattern electroplating upper and lower shells that are infinitely close to the original products, with anti-reflective coating sapphire glass! The tape uses a soft and delicate Malaysian imported top rubber strap, and the movement is equipped with an imported Seiko NH movement. The buckle of this version is made according to the original size and thinness, making it feel more comfortable and intimate, the highest version on the market Richard Mille Replica