Macroeconomic Report & Economic Updates

April 15, 2019

Nigeria Economic Update (Issue 12)

The Nigerian mining and quarrying sector recorded growth in the production of solid minerals in 2018. The total quantity of solid minerals produced rose from 45.7 million tons in 2017, to 55.9 million tons in 20181 – representing a 22% increase. Disaggregated by type of solid mineral, Limestone was the most produced – production grew […]

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The Nigerian mining and quarrying sector recorded growth in the production of solid minerals in 2018. The total quantity of solid minerals produced rose from 45.7 million tons in 2017, to 55.9 million tons in 20181 – representing a 22% increase. Disaggregated by type of solid mineral, Limestone was the most produced – production grew by 95% to 27.2 million tons in 2018, and accounted for about 49% of the total tons of minerals produced. The growth witnessed in the sector may have emerged from the government’s efforts and incentives to develop the sector and also in a bid to diversify the economy. The government had offered mining companies a three to five year “tax holiday”, duty and tax-free importation of equipment, full ownership of their businesses and the ability to take profits out of the country2. In addition, the government committed about $100 million intervention fund for the sector and awarded mining contracts to ten exploration and consulting firms, in 20183. In addition to ongoing interventions, there is need to minimize the indiscriminate export of mineral commodities especially gold, tin and lead-zinc to foreign smelters, as formalizing these activities offers great potential for a significant source of revenue for Nigeria, away from oil.




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Nigeria Economic Update (Issue 47)

Recent data by NBS indicates an increase in bank credit to private sector. Specifically, private sector credit rose (year on year) by 24.4 percent to N16,185.1 billion in 2016Q3 relative to 2016Q2, with Oil and gas, and Manufacturing sectors taking the consecutive largest shares of the credit. The rise may be connected to the need to improve credit availability to critical sectors in order to hasten the recovery from the ongoing recession. The present rise in bank credit to the manufacturing sector seems to be a step in the right direction as the sector is critical to Nigerias industrialization and economic stability.