By Haruna Salami and Musa Baba Adamu
The National Assembly (NASS) and the Federal Ministry of Solid Minerals Development have called on the Federal Government to make the ministry’s budget a first-line charge.
They warned that inconsistent releases, particularly zero capital funding, are undermining efforts to reposition the mining sector as a key driver of economic diversification.
The call was made yesterday in Abuja when the Minister of Solid Minerals Development, Mr. Dele Alake, appeared before the Joint National Assembly Committee on Solid Minerals Development, chaired by Senator Ekong Sampson, to present the ministry’s 2024 and 2025 budget performance and defend its 2026 budget proposal.
A first-line charge status would guarantee statutory releases to the ministry, similar to priority sectors, insulating it from delays and shortfalls in Treasury disbursements.
Presenting the 2026 estimates, Alake disclosed that the disaggregated personnel, overhead and capital ceilings for the ministry and its agencies stood at N165.34 billion for the 2026 fiscal year.
For the main ministry, N1.79 billion was proposed for personnel costs; N1.57 billion for overhead; and N45.54 billion for capital expenditure, totalling N48.9 billion.
He said the remaining amount goes to the various agencies of the ministry.
Alake described the 2026 proposal as a strategic pivot from “planning and potential” to “execution, production and revenue generation.”
He stressed that the N156.34 billion outlay for the sector represents a critical investment to unlock solid minerals’ capacity to diversify the national economy, create jobs and significantly boost Nigeria’s GDP.
He said the allocation prioritises foundational tools such as surveillance, logistics and digital systems required to curb illegal mining, increase revenue and create an enabling environment for responsible investment.
However, the minister lamented that implementation challenges have stifled the ministry’s ambitions saying that as of January 31, 2026, only 50 per cent of the 2025 overhead allocation had been released, while capital releases for 2025 stood at zero.
Alake said, “The zero release of the N865.06 billion for capital expenditure in Fiscal Year 2025 is the most critical issue.”
He noted that large-scale infrastructure, exploration and sector development projects announced for the year could not commence.
Despite the funding setbacks, he said the ministry surpassed its 2025 revenue target by 80 per cent, generating N30.23 billion as at December 31, 2025.
Alake attributed the improved revenue profile to reforms in the sector, including the formalisation of artisanal miners into cooperatives and corporate entities to enhance their bankability and regulatory compliance.
He said, “We were able to encourage them to form corporations so that they will no longer be labelled illegal miners.
