The Senate has made significant progress towards the development of a Bill For An Act To Make Provisions For Nigeria Gold Reserve Industry Framework, And Other Related Matters, following the second reading of the proposed legislation sponsored by Senator Natasha Akpoti-Uduaghan.
The bill aims to establish a robust framework for the exploitation and marketing of Nigeria’s gold reserves. In Senator Natasha’s lead debate, she emphasized the importance of gold reserves as a dependable store of value, especially during times of financial uncertainty. She emphasized the need for Nigeria to proactively position itself in the global gold market and ensure responsible and sustainable practices for the benefit of the country’s economy and communities.
If passed, the bill will lead to the establishment of the Nigeria Gold Authority (NGA), which will administer the Nigerian Mining Act in relation to the country’s gold resources. This initiative is expected to not only enhance the engagement and earning power of local artisanal miners but also maintain a strong Gold Reserve Ratio, strengthening the country’s economy and creating job opportunities within the gold industry.
Furthermore, the bill aims to increase Nigeria’s gold reserve ratio, which is currently less than 2% of the total foreign reserve. This diversification aims to protect the Naira against depreciation and the economy against inflation. The proposed legislation also presents an opportunity to drive economic growth and diversification by attracting domestic and foreign investors, stimulating job creation, and boosting government revenue streams.
To ensure environmental sustainability, the bill includes stringent regulations to minimize the ecological footprint of gold mining and processing activities. It prioritizes reclamation and rehabilitation efforts to preserve the long-term health of natural ecosystems. Additionally, the proposed legislation emphasizes the establishment of community development funds and transparent consultation processes to foster positive relationships with local communities.
During the plenary session, the bill received praise from several senators who recognized its potential to contribute to Nigeria’s economic growth and development. Senator Adetokunbo Abiru described it as “timely and important,” while Senator Adeola Olamilekan appreciated Senator Akpoti-Uduaghan’s efforts to address illegal gold mining. Senator Sanni Musa also highlighted the job creation potential of the bill, emphasizing its ability to combat illegal mining and create beneficial opportunities.
While the bill was generally well-received, some senators suggested additional measures to strengthen its impact. Senator Adams Oshiomhole suggested the inclusion of capital punishment for illegal gold mining offenses, emphasizing the need for strict enforcement. The Deputy Senate President, Senator Barau Jibrin, praised Senator Akpoti-Uduaghan’s initiative, acknowledging the bill’s potential to boost the economy.
As Nigeria’s Senate deliberates on the proposed legislation, it is evident that the country is taking proactive steps to develop a robust gold reserve industry that will not only enhance economic stability but also create valuable opportunities for its citizens. With the global demand for gold continuing to rise, Nigeria’s efforts to position itself as a major player in the gold market are both timely and strategic.