Shining a Light on Artisanal and Small-scale Mining in Nigeria
Artisanal and Small-scale Mining (ASM) in Nigeria has often been disregarded as an informal and poverty-driven activity, with potential environmental and health hazards. However, if managed properly, it holds great promise for boosting household income, supporting MSME growth, increasing government revenues, and making progress towards achieving sustainable development goals.
Nigeria is abundant in mineral resources, spread across over 500 locations within the country. Despite the potential of the mining sector to drive economic prosperity and sustainable development, various factors have hindered its full potential. Artisanal and small-scale miners account for over 70% of the Nigerian mining landscape, yet the sector contributes minimally to government revenues and the overall economy.
Issues such as poor mining practices, lack of effective regulation and policy frameworks, and conflicts between miners and communities have led to lost economic benefits, environmental damage, and health hazards. Formalizing the ASM sector and addressing these challenges is crucial for unlocking its potential.
Efforts have been made to revamp the ASM sector in Nigeria, but more needs to be done. Strengthening the legal, regulatory, and institutional framework is necessary to support the formalization of ASMs as budding MSMEs, attract foreign investments, and address key issues affecting the sector.
To address these challenges, the United Nations Development Programme (UNDP) and the European Union (EU), in partnership with the Revenue Mobilization Allocation and Fiscal Commission (RMAFC), have initiated a series of activities focused on providing evidence-based knowledge, policy advocacy, training, and support for ASM formalization.
The activities include a needs assessment of artisanal and small-scale miners, policy advocacy with relevant government executives, engagement with the Nigerian Customs Services on ASM mineral export, and training on safety, environment, and revenues for ASM cooperatives.
The aim is to equip responsible government stakeholders with the right knowledge and tools to address the identified issues and support the formalization of ASMs. The activities carried out so far are signs of progress towards formalizing ASM and improving the framework for solid mineral development in Nigeria.
The Integrated National Financing Framework (INFF) is playing a crucial role in supporting the formalization of ASMs by leveraging both conventional and innovative financing mechanisms to address sustainable development financing needs in Nigeria. By strengthening planning and financing processes, the INFF aims to mobilize greater amounts of private and public resources to finance sustainable development goals aligned with national priorities. The initiative is chaired by the Minister of Finance and Coordinating Minister of the Economy, with Secretarial support from the Office of the Senior Special Assistant to the President on SDGs (OSSAP-SDGs).
The goal of these initiatives and activities is to position the ASM sector as a vital contributor to Nigeria’s sustainable development, ensuring that it drives economic growth, improves living standards, and supports the achievement of the Sustainable Development Goals.
For more information about UNDP and INFF, please visit the following links:
UNDP: https://www.undp.org/nigeria
INFF: Global: https://inff.org/ | Nigeria: https://www.undp.org/nigeria/publications/nigeria-integrated-national-financing-framework
For media inquiries and more information, please contact:
Precious Akanonu
National Economist, UNDP Nigeria
For media inquiries, please contact:
Christabel Chanda-Ginsberg
Public Engagement Outreach and Partnerships Lead, UNDP Nigeria
[email protected]