The Federal Government of Nigeria announced in May 2025 that its mining sector reforms have resulted in a six-fold increase in revenue and attracted $800 million in foreign investment since the launch of the Tinubu administration’s economic agenda in 2023.
The reforms, led by the Minister of Solid Minerals Development, Dele Alake, include stricter licensing regulations, enhanced geological data collection, and the establishment of a Mining Marshals Corps to combat illegal mining. The achievements were highlighted during a ministerial briefing in Abuja, where Alake credited the reforms for boosting investor confidence and improving transparency.
The revenue increase, from ₦50 billion in 2022 to ₦300 billion in 2024, is attributed to improved royalty collection, crackdowns on illegal operations, and the promotion of high-value minerals like lithium and rare earth elements. The $800 million in foreign investment has come from companies in Australia, Canada, and South Africa, targeting gold, lithium, and tin projects in states like Zamfara, Nasarawa, and Plateau. The reforms also include community engagement programs to ensure local benefits, such as job creation and infrastructure development, addressing past grievances over environmental degradation.
Despite the gains, challenges remain, including insecurity in mining regions and resistance from artisanal miners affected by the crackdowns. Critics have called for more equitable revenue distribution to host communities and stronger environmental protections. The government has pledged to sustain the reforms, with plans to establish a state-owned solid minerals corporation by 2026 to streamline operations.
The success has positioned Nigeria as an emerging mining hub, with Alake projecting that the sector could contribute 10% to GDP by 2030, reducing reliance on oil. The announcement has bolstered optimism about Nigeria’s economic diversification efforts, though stakeholders emphasize the need for sustained political will to maintain momentum.