The Nigerian Senate has begun a three-day investigative hearing to examine the input and output values of the country’s mining industry. This initiative comes in response to the industry’s critical role in economic diversification, foreign exchange earnings, and social inclusion. The hearing follows a motion moved by former chairman of the committee on solid minerals and now minority whip of the Senate, Sen. Osita Ngwu.
The hearing aims to address the immediate and remote causes of the declining revenue derived from solid minerals development. Senators will also review the Bureau of Public Enterprises (BPE) privatization or commercialization programs related to mining and mineral resources from 1999 to the present day.
Ngwu, the Chairman of the Senate Committee on Solid Minerals, moved the initial motion in November 2023, urging a halt to further privatization of mining assets until the committee concluded its investigation. He emphasized that various economic development programs and fiscal documents, including the Vision 20-20-20 Report, the National Economic Empowerment Development Strategy (NEEDS), and the current Mid-Term National Development Plans (MTNDP), identify the Nigerian mining sector as central to economic diversification and social inclusion.
The Senate has begun an investigative hearing to examine the input and output values of the country’s mining industry following a motion moved by Senator Osita Ngwu.
Ngwu noted that despite several decades of policy inconsistency and weak institutional misalignment, the mining sector’s contribution to the gross domestic product (GDP) has remained disappointingly low. He expressed concern that despite Nigeria’s abundant mineral endowment and significant resources invested by the government, the sector’s contribution to job creation, infrastructure development, and GDP is among the lowest in the African sub-Saharan region.
At the opening of the investigative hearing on Tuesday at the National Assembly, Senate President Godswill Akpabio recalled that the hearing was a result of a motion sponsored by Sen. Ngwu. He explained that the Senate directed its committee to conduct a thorough investigation, discuss with stakeholders, and develop comprehensive solutions and recommendations that would benefit not just the minister but also the entire government.
“We are gathered here with a shared purpose, to ask very tough questions and seek answers that will shape the future of this great nation,” Akpabio said. He likened the Senate’s investigation to Isaac Newton’s curiosity, which led to the discovery of the law of gravity, suggesting that this hearing could yield similar groundbreaking results for Nigeria’s economy.
Akpabio urged stakeholders to focus on transforming Nigeria’s mono-economy into a fully diversified economy, with the mining sector playing a central role. He emphasized the need to move away from dependence on crude oil and address issues of insecurity caused by illegal mining.
The Senate President concluded by extending his gratitude to the committee and its members for their dedication and commitment to organizing the event, expressing hope that the investigative hearing would yield meaningful insights and recommendations.