First Bank of Nigeria has reiterated its support for the development and growth of the mining sector as part of efforts to diversify the nation’s economy. First Bank Group Head, Corporate Banking, Energy (Upstream and midstream), Temitayo Osundosumu, had this to say during a panel discussion at Nigerian Mining Week in Abuja. The Nigerian News Agency reports that the 2022 Mining Week was themed “Nigeria Strengths Profile: Achievements and Areas of Focus”, which was held from 1-3 November. According to Osundosumu, the mining industry is a growth industry, which First Bank will always support.
“First Bank is open for business and will always support the mining sector, and we have the experience. We want the miners to talk to us. Most of the time it is not always loans that they need, it could be a banking solution or arguing with other partners about new chips. We have done this through our footprints in Africa and we are looking forward to doing it in Nigeria,” he said. Osundosumu said that the Ministry of Mines and Steel Development has been taking many steps to structure the mining industry. According to him, artisans and small miners are coming together in a well-organised way. “A good one is the Solid Minerals Development Fund. It’s a way to de-risk all the problems in the mining industry so that financing from the banks is applicable and can move the industry forward,” he said. Furthermore, the Executive Secretary/Executive Director of the Solid Minerals Development Fund, Ms. Fatima Shinkafi, said that the mining industry in Nigeria was 70 per cent artisanal.
However, Shinkafi said miners could be more productive if they were well structured. He advised miners seeking financing from banks to ensure their companies had a good corporate governance structure as well as viable products. “Banks will only give you financing based on your cash flow. You need to have a product that is viable and your company needs to have a good corporate governance structure. Mining is a science. You need to develop data for future funds,” she said. Nigeria mining Week reports that the 2022 edition of the Nigeria Mining Week is the sixth in the series. It was organised as an in-person event for the first time since 2020, following the outbreak of the COVID-19 pandemic. Organisers said the conference allowed the entire mining value chain to reconnect face-to-face and explore the many exciting opportunities the mining sector offers.
