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FG Rues Illegal Mining Revenue Losses, Impact On GDP

The Federal Government on Monday lamented the activities of illegal miners in the country and the attendant revenue loss implications for the nation’s sustainable growth.

It is estimated that with 80 percent of mining activities being done illegally, Nigeria had been losing billions of naira annually and hampering the sector’s contribution to the Gross Domestic Product (GDP).

The Permanent Secretary, Ministry of Mines and Steel Development, Georgina Ekeoma, who raised the concern at the opening ceremony for ‘Capacity Building for Special Mines Surveillance Task Force on Illegal Mining’ in Jos.

According to him, rather than being channelled through official produce channels, the mined produceof the illegal miners are usually smuggled out of the country thereby depriving government of accruable royalties, and posing serious detriments to the Nigerian economy.

Describing the mining sector as a key sector driving many richly endowed countries’ growth globally, Ekeoma noted however that the case in Nigeria, showed clearly that illegal mining posed a serious threat to the nation’s growth.

She explained: “Mr. President has expressed concern over the alarming rate of illegal mining going on in the country and its attendant consequence of scaring off investors, as well as making an unattractive investment for sustainable development of the sector.

“We will therefore be delighted to see the end of the menace in Nigeria. That is why government established the Presidential Special Mines Surveillance Task Force in 2012 with membership drawn from relevant ministries and security organisations”, the Permanent Secretary added.

She charged participants at the workshop that their roles as members of this taskforce remained critical to the realisation of government’s confidence in the sector as a substitute for oil in revenue generation.

Ekeoba clarified: “You are charged with the responsibility of curbing illegal mining, reducing environmental degradation and plugging revenue leakages amongst others.

“While appreciating the risks involved in your operations, I would like to commend you for your efforts so far at achieving your mandate. But much still needs to be done by the SMSTF especially with the disturbing upsurge in illegal mining activities across the federation particularly in Ebonyi, Niger, Plateau, Oyo, Taraba and Zamfara.

“I admonish you to focus your drive on the illegal mining activities perpetrated by foreign operators. These operators will never engage in such activities in their countries knowing it will deny their government of due revenue. As a result, you should not support them in undermining our economy to the detriment of us all”, she stressed.

The participants at the workshop comprised representatives from various security agencies, including the Nigerian Customs and Nigerian Security and Civil Defence Corps (NSCDC), amongst others.

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