Business
Miners Want Buhari To Fund Solid Minerals Dev Fund
The President, Miners Association of Nigeria, Alhaji Sani Shehu, has called on the new administration to provide adequate funds for the Solid Minerals Development Fund (SMDF) to ensure its development.
Shehu made the call on Wednesday in Abuja at the association’s news conference tagged “Mining is the answer”.
SMDF is, however, an agency under the Ministry of Mines and Steel Development, mandated to fund all the mining activities across the country.
According to Shehu, for Nigeria to regain its former glory on the global mining arena, the sector must be adequately funded through SMDF, which is yet to begin operations, three years after its inauguration.
Shehu said that the mining industry had, in the past, contributed significantly to the growth of the Nigerian economy, adding that Nigeria was a major producer of tin, columbite and coal.
“The industry also provides massive employment and was one of the sources of revenue for infrastructure development before it suffered a major setback.
“For decades afterwards, small scale operators and artisanal miners took over the sector.
“It is not appropriate to leave a sector with such huge potential to be dominated by artisanal and small scale miners.
“The sector still remains virgin and needs to be properly developed to actualise its full benefits to the nation,” he said.
Shehu also urged government to continue to generate credible geosciences data, extend the local content law to the mining sector, encourage mining cooperatives into clusters and facilitate human capacity development programmes.
He urged government to adequately fund the Ministry of Steel to strengthen its relevant departments to perform their statutory functions.
He implored government to promote local manufacture of mining equipment and create the enabling environment to allow operators to access funds more easily and at single digit interest rates.
According to Shehu, Nigeria has at least 33 viable solid minerals deposits; these contribute less than one per cent to the GDP as against the erstwhile 10 per cent generated from the sector before oil.
“South Africa, which is less endowed than Nigeria in this regard, depends on solid minerals exploitation for 18 per cent of its GDP and has created over one million jobs,” the president said.
He said countries like India, Mozambique and Ghana were fairing well in mining sector, adding that it was a viable economic alternative to oil.
Shehu said the association had resolved to work with the new government to actualise its aspirations of generating additional revenue and massively creating jobs for the citizens.
He said the association had developed a five-year Strategic Development Plan for the mining sector which would create 300,000 jobs annually as well as contribute 10 per cent to the GDP.
“The solid minerals industry is witnessing a renaissance and its relevance to Nigerian economy can no longer be downplayed, especially at a time when critical, diverse investments are needed to enhance the economic empowerment of our people.
“The vast occurrences of solid mineral resources in each state of the federation are yet to be accorded due attention; collective and affirmative action is desired in order to fully exploit the enormous prospects that exist.”
He said the union recognised measures were taken by the former administration to reform the mining industry by creating institutions which provided a platform for the sector in line with industrial best practices.
He said even with the reform, the sector still had challenges of inadequate skilled labour, inadequate geological and bankable data, multiple taxation as well as inadequate logistical support among others.
He commended the appointment of Mr Roberts Orya, the Managing Director, Nigerian Export-Import Bank, as the Honorary President of the Global Network of Export-Import Banks and Development Finance Institutions.
He condoled with the families of the victims of the recent lead poison in Niger and prayed God to grant them the fortitude to bear the loss.
The Central Bank of Nigeria (CBN) yesterday said 33 banks have met new minimum capital requirements under its recapitalisation programme, raising a combined N4.65 trillion to strengthen the financial system.
The apex bank disclosed this in a statement marking the end of the exercise, which commenced in March 2024 and drew participation from domestic and foreign investors.
The statement was jointly signed by the Director of Banking Supervision, Olubukola Akinwunmi, and the Acting Director of Corporate Communications, Hakama Sidi-Ali.
The statement said “Over the 24-month period, Nigerian banks raised a total of N4.65tn in new capital, strengthening the resilience of the financial system and enhancing its capacity to support the economy.”
The regulator said local investors accounted for 72.55 per cent of the funds, while international investors contributed 27.45 per cent, reflecting continued confidence in the sector.
Commenting on the outcome, the CBN Governor, Olayemi Cardoso, said in the statement, “The recapitalisation programme has strengthened the capital base of Nigerian banks, reinforcing the resilience of the financial system and ensuring it is well-positioned to support economic growth and withstand domestic and external shocks.”
It added that while 33 banks have complied with the new thresholds, a few others are still undergoing regulatory and legal processes.
The statement noted, “The CBN confirms that 33 banks have met the revised minimum capital requirements established under the programme.
“A limited number of institutions remain subject to ongoing regulatory and judicial processes, which are being addressed through established supervisory and legal frameworks.
“All banks remain fully operational, ensuring continued access to banking services for customers.”
The apex bank stressed that the exercise was executed without disrupting banking operations, ensuring uninterrupted access to services nationwide.
It further stated that key prudential indicators have improved, particularly capital adequacy ratios, which remain above global Basel benchmarks.
The minimum ratios were set at 10 per cent for regional and national banks and 15 per cent for banks with international licences.
The bank also said the recapitalisation coincided with a gradual exit from regulatory forbearance, a move it said improved asset quality, strengthened balance sheet transparency, and enhanced overall stability.
To preserve these gains, the CBN said it has reinforced its risk-based supervision framework, mandating periodic stress tests and adequate capital buffers for banks.
It added that supervisory and prudential guidelines would be reviewed regularly to strengthen governance, risk management, and resilience across the sector.
“The successful completion of the programme establishes a stronger and more resilient banking system, better positioned to support lending, mobilise savings, and withstand domestic and global shocks,” the statement said.
The Tide learnt that foreign capital inflows into Nigeria’s banking sector rose by 93.25 per cent year-on-year to $13.53bn in 2025, up from $7.00bn recorded in 2024, amid the ongoing recapitalisation drive by the Central Bank of Nigeria.
Data from the National Bureau of Statistics capital importation report showed that the banking sector remained the dominant destination for foreign capital, accounting for $13.53bn of the total $23.22bn recorded in 2025, representing 58.26 per cent of total inflows, up from 56.81 per cent in 2024.
The surge reflects heightened investor interest in Nigerian banks as they raised fresh capital to meet new regulatory thresholds introduced by the apex bank, with industry-wide recapitalisation activities driving large-scale inflows across all quarters of the year.
However, the Centre for the Promotion of Private Enterprise (CPPE) recently raised concerns over weak credit flows to small businesses despite recent banking sector reforms.
The CPPE, led by a renowned economist, Dr Muda Yusuf, acknowledged that the ongoing bank recapitalisation exercise by the CBN has strengthened the financial system, but warned that the benefits have yet to translate into meaningful support for the real economy.
The facility will be disbursed through participating Microfinance Institutions (MFIs), which will in turn extend the loans to their customers, particularly SMEs, as they directly interface with businesses at the grassroots level.
The Executive Director of COMCIN, Mr. Micheal Ogbaa who represented the Chairman, Dr. Iredele Oyedele (FCA, FCCA), said the initiative is designed to strengthen micro-lending institutions and expand access to finance for grassroots entrepreneurs, particularly women and youths in the informal sector.
Ogbaa explained that COMCIN does not lend directly to individuals but works through its network of microfinance and cooperative institutions, which in turn provide loans to end users.
“We came together to advocate for the microfinance ecosystem. Commercial banks often exclude people at the grassroots, but our members are positioned to reach them. This facility will empower them to do more,” he said.
He noted that the loan scheme offers low interest rates and flexible repayment plans, making it more accessible to small business owners.
According to him, about 90 percent of beneficiaries are expected to be women, who play a key role in sustaining families and driving economic activities at the local level.
“Our focus is on traders, service providers, and players in the informal sector. These are the real movers of the economy. By supporting them, we are strengthening families and contributing to national development,” he added.
Ogbaa disclosed that eligible SMEs with proven integrity and business track records could access up to N5 million each through participating micro-lending institutions. The rollout has commenced in Lagos and will extend to Abuja, Enugu, and other regions, including the South-West, South-East, and North-East.
He said 12 micro-lending institutions have already benefited from the scheme, while 85 applications are currently being processed under the pilot phase.
“Our target is to reach at least 100,000 SMEs nationwide. We are building a platform that connects funding partners with credible micro-lending institutions, creating a reliable channel for financial inclusion,” Ogbaa said.
He added that COMCIN is also working to attract larger funding pools from development finance institutions and private investors, noting that successful implementation of the pilot phase would boost confidence and unlock more capital for SMEs.
“We have seen encouraging testimonies from early beneficiaries. As we demonstrate transparency and efficiency, more institutions will be willing to channel funds through us,” he said.
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