SEC and Capital Market Community to Partner with Federal Ministry to Boost Financing for Nigerian Solid Minerals Sector
The Securities and Exchange Commission (SEC) and the Capital Market Community plan to collaborate with the Federal Ministry of Mines and Steel Development (FMMSD) and other stakeholders to promote alternative means of capital raising for the Nigerian solid minerals sector. These measures include non-interest products, tokenization of assets, and the adoption of fintech technologies.
A workshop focused on financing the sector through the capital market and the role of commodities exchanges highlighted the need for prioritizing STEM education and ensuring market infrastructure supports mining ventures while protecting investors. The participants also addressed the challenges of interference in mining activities by state governments and emphasized the importance of sustainable practices and Environmental, Social, and Governance (ESG) standards.
Opinion:
The collaboration between the Securities and Exchange Commission, the Capital Market Community, and the Federal Ministry of Mines and Steel Development signifies a promising step toward unlocking the economic potential of the Nigerian solid minerals sector. By exploring alternative means of raising capital, such as non-interest products and tokenization of assets, and adopting fintech technologies, the sector can attract strategic investors and secure long-term funding. Additionally, promoting STEM education will enhance the industry’s workforce capabilities, while adherence to sustainable practices and ESG standards will ensure responsible and ethical mining practices. The concerted efforts of these stakeholders can drive economic diversification, growth, and transparency in the solid minerals sector, contributing to Nigeria’s sustainable development goals.
Their focus includes exploring alternative capital raising methods and adopting fintech technologies. Promoting STEM education and adhering to sustainable practices are also emphasized to drive growth and transparency in the sector. This partnership represents a crucial step toward unlocking the economic potential of Nigeria’s solid minerals industry.