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.
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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Nigeria Economic Update (Issue 39)
Nigerias
external reserve fell marginally by from $25.36 billion to $25.16 billion.
The decline likely reflects the continued sales of dollar by CBN amid fall in
oil revenue. Similarly, the naira/dollar exchange rate depreciated marginally
by 0.5 percent to N424/$ at the parallel segmentas also seen in
preceding weeks. The continued depreciation likely points to banks low level
compliance to CBNs dollar sales directive made in August, 2016,
thus creating artificial dollar scarcity in the parallel market.
Issues In Fiscal Policy Management Under The Economic Reforms
This paper was produced as part of a larger project which was jointly financed by the UKDepartment for International Development in Nigeria (through its Policy and Knowledge facility)and the Research Committee of the World Bank.