Strengthening Partnerships for Mining Sector Financing in Nigeria
The Ministry of Solid Minerals Development and the Nigerian Export-Import (NEXIM) bank have announced their plans to work closely together to address the challenges facing the export of solid minerals and to enhance the financing of the mining sector in Nigeria.
In a meeting with the Managing Director of NEXIM Bank, Mr. Abba Bello, the Minister of Solid Minerals Development, Dr. Dele Alake, commended the bank for its efforts in providing financial support to the mining industry. He emphasized the need for more support to help local investors overcome logistical challenges and access funding and equipment necessary for mining activities.
Mr. Bello, in turn, briefed the Minister on NEXIM Bank’s mining support scheme, which aims to provide funding and credit enhancement instruments to de-risk projects, attract investments, and optimize the contribution of the mining sector to the nation’s GDP and exports. He also highlighted specific frameworks within the scheme, such as the Equipment Leasing Framework, Contract Mining Framework, and Buyers Credit/ECA financing, all designed to support local mining companies.
The NEXIM bank MD also shared the bank’s successful efforts in addressing logistical challenges, particularly in the survey and charting of the lower River Niger, which has improved navigation and the transport capacity for bulk solid minerals through the Ajaokuta terminal and Burukutu port.
Dr. Alake expressed his satisfaction with NEXIM Bank’s commitment to the development of the mining sector and pledged the ministry’s collaboration to leverage the bank’s resources for the benefit of the mining industry.
The collaboration between the Ministry of Solid Minerals Development and NEXIM Bank represents a significant step towards addressing the financing and logistical challenges faced by the mining sector in Nigeria. The continued support and collaboration between government institutions and financial organizations will be crucial in driving the growth and sustainability of the mining industry in the country.
