The Nigerian Extractive Industries Transparency Initiative (NEITI) reports that Nigeria’s solid minerals sector has contributed N1.137 trillion to government revenues from 2007 to 2023. This announcement follows the release of NEITI’s 2023 Solid Minerals Audit Report, marking the 16th cycle of audits in this sector.
During the report presentation in Abuja, NEITI’s Executive Secretary highlights the sector’s consistent revenue growth, emphasizing its rising economic importance and areas where policy reforms could further drive diversification. “The report shows a remarkable rise, from N7.59 billion in 2007 to N341.27 billion in 2022, revealing the sector’s expanding financial footprint,” he says.
The audit, conducted by Haruna Yahaya and Co., offers insights into revenue streams, export data, and the sector’s economic role. Revenue from the solid minerals sector has climbed steadily, surpassing ₦1 trillion. In 2022, the sector generated N345.41 billion, with a reconciled revenue of N329.92 billion, highlighting its transformation into a core economic contributor. The report notes that government revenue, including reconciled and disclosed payments, reached N401.87 billion in 2023, with major contributions from VAT (N128.32 billion), FIRS-collected taxes (N370.09 billion), Education Tax, CIT, and royalties totaling N9.06 billion.
Production data shows Nigeria produced 95.07 million tonnes of minerals in 2023, exporting 4.32 million metric tonnes valued at N117.29 billion. Top-producing states include Ogun, Kogi, and Rivers, with Osun, Ogun, and Kogi states leading in revenue contributions. NEITI’s reconciliation efforts reduced discrepancies in company payments from ₦301.6 billion to ₦100 million, underlining its commitment to transparency and accountability.
Despite these gains, NEITI reveals that the solid minerals sector contributed only 0.83% to Nigeria’s GDP in 2022, dropping slightly to 0.75% in 2023. This modest share points to significant untapped potential for advancing Nigeria’s economic diversification goals. NEITI urges policy reforms to unlock the sector’s full economic impact, noting, “With strategic policies, the solid minerals sector could be pivotal in Nigeria’s path to economic diversification.”
