Shining a Spotlight on Artisanal and Small-Scale Mining: A Key Sector for Sustainable Development in Nigeria
Artisanal and Small-scale Mining (ASM) in Nigeria has often been subject to criticism due to its informal nature, which has resulted in environmental and health concerns, as well as minimal economic benefits. Nonetheless, when managed effectively, this sector has the potential to increase household income, support growth in Micro, Small, and Medium Enterprises (MSMEs), generate government revenues, and contribute to the achievement of sustainable development goals (SDGs).
Nigeria is endowed with mineral resources distributed across more than 500 locations in the 36 States and the Federal Capital Territory. Despite the potential of the sector to drive economic growth in Nigeria, several factors have impeded its optimal performance. The informal nature of the sector, largely dominated by artisanal and small-scale miners, means it only contributes a small portion of revenues to the government and the economy.
Various challenges confront this sector, including poor mining practices and mineral marketing, inadequate regulatory frameworks, and insecure rights for miners and communities. These issues make it difficult to enhance the livelihoods of miners, ensure community well-being, and achieve government revenue and development targets.
Addressing these challenges necessitates the strengthening of the legal, regulatory, and institutional framework to support the formalization of ASMs and attract foreign investments to the sector. It is crucial to consider the rights of miners and communities, resolve disputes between federal and state governments over land and mineral resources, and enhance mining, processing, and marketing practices. Furthermore, providing training and necessary resources to ASM workers, addressing child labor, and ensuring access to education are imperative steps.
The United Nations Development Programme (UNDP), in collaboration with the Revenue Mobilization Allocation and Fiscal Commission (RMAFC) and the European Union (EU), has undertaken a series of initiatives to address these challenges. These initiatives encompass needs assessments, study tours, policy advocacy, and the provision of training for ASM workers. The objective is to equip government stakeholders with the requisite knowledge and practices, while supporting the formalization of ASM sites.
Through the support of the UNDP and the EU, and with the involvement of relevant government bodies and civil society organizations, there is optimism for the formalization of ASMs and a review of the framework for solid mineral development in Nigeria. These endeavors can contribute to enhanced domestic resource mobilization and sustainable development outcomes in the country.
The Integrated National Financing Framework (INFF) in Nigeria is geared towards assisting the government in mobilizing resources to finance sustainable development goals in accordance with national priorities. This initiative harnesses traditional and innovative financing mechanisms to address the barriers to public and private sector participation.
For further information on the UNDP’s initiatives in Nigeria, please visit their website at: https://www.undp.org/nigeria.
For enquiries, kindly contact:
Precious Akanonu
National Economist, UNDP Nigeria
For media inquiries, please reach out to:
Christabel Chanda-Ginsberg
Public Engagement Outreach and Partnerships Lead, UNDP Nigeria.
For additional details on the Integrated National Financing Framework (INFF) in Nigeria, please visit: https://www.undp.org/nigeria/publications/nigeria-integrated-national-financing-framework.
