By Jude Opara
The ministry of steel development has requested technical and financial assistance from donor agencies to revive the Ajaokuta Steel Company Limited (ASCL) and the National Iron Ore Mining Company (NIOMCO).
During a meeting with donor agencies on Tuesday in Abuja, Shuaibu Audu, minister of steel development, said the ministry remains focused on revitalising publicly owned steel assets to strengthen Nigeria’s industrial sector.
The minister urged donor agencies to collaborate in creating a sustainable legacy of development, job creation, and industrial innovation that will benefit future generations.
“Our objective is to prepare these institutions for privatisation by upgrading their infrastructure and operational capabilities, transforming them into robust engines of local production,” Audu said.
“This initiative aims to boost domestic steel output, reduce dependence on imports, and generate valuable foreign exchange.”
The minister said achieving the goals requires technical expertise, financial resources, and strategic guidance to ensure effective implementation.
“These are crucial for bridging the gap between our ambitious vision and the practical realities of implementation,” he said.
“Your partnership can accelerate the modernisation of our steel assets, build essential infrastructure, empower our workforce with future-ready skills, and strengthen regulatory frameworks.”
The minister further said supporting steel assets, revitalising infrastructure, investing in capacity development, and promoting regulatory and trade reforms would drive national progress.
As a result, he said donor commitments would unlock Nigeria’s steel sector’s potential, reduce import reliance, and encourage local innovation.
“Together, we can build a future where Nigeria’s steel industry drives economic growth, creates jobs, and anchors our economic diversification,” he said.
Audu described the vision outlined in the 2025 capital budget as ambitious yet necessary, adding that strong partnerships and significant financial resources remain critical to transforming the capital-intensive steel industry.
However, he acknowledged that funding gaps continue to pose a major challenge to achieving set objectives.
To address the challenge, Audu emphasised the need for institutional reforms that require collaboration beyond government efforts alone.
He expressed confidence that donor support would propel Nigeria’s steel sector, driving industrial growth and securing a prosperous future.
The minister also said Nigeria stands on the verge of major industrial progress, as partnerships expand project scope through coordinated efforts between the ministry’s technical teams and donors for mutual benefits.
The United Nations Industrial Development Organisation (UNIDO) will soon unveil its 2024–2028 country partnership programme to support the ministry’s initiatives.
Osuji Otu, Nigeria’s country representative for UNIDO, announced the programme while acknowledging the ministry’s vital role in driving industrialisation.
Other partners, including the United Nations Development Programme (UNDP) and the Australian High Commission, also assured the ministry of support, committing to provide technical assistance for its projects.
Audu in September 2024, signed a memorandum of understanding (MoU) with the builders of the Ajaokuta steel plant, Messrs Tyazhpromexport (TPE), for the rehabilitation, completion, and operation of the plant and the NIOMCO.
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