Business and Economy
FG Deepens Steel Sector Reforms With $1bn Investment Push
The Federal Government has stepped up efforts to reposition Nigeria’s steel industry with the signing of a $1 billion Memorandum of Understanding with India-based Rashmi Metaliks Group.
The agreement was signed in Kolkata by the Minister of Steel Development, Prince Shuaibu Abubakar Audu, as part of a broader strategy to attract foreign direct investment and accelerate industrial growth.
This is contained in a statement signed by the head Press and Public Relations in the ministry, Salamatu Jibaniya in Abuja.
The statement explains that the investment, expected to be implemented over a three-year period and aimed at boosting local steel production, generating employment and reducing the country’s dependence on imported steel products.
According to the statement, it also in line with the Renewed Hope Agenda of President Bola Ahmed Tinubu, which prioritises economic diversification and infrastructure development.
The emphasizes that Nigeria is repositioning itself to become a leading steel production hub in Africa by 2030.
It highlights the country’s vast iron ore reserves and strong domestic demand, estimated at billions of dollars annually, as key incentives for investors.
The statement also points to ongoing developments within the sector, including new steel plants and energy infrastructure projects designed to support industrial operations.
It notes that improved gas supply and modern production technologies are critical to achieving sustainable growth in the industry.
The statement assures investors of the Federal Government’s commitment to providing a stable policy environment, fiscal incentives and ease-of-doing-business reforms to safeguard investments and encourage partnerships across the steel value chain.
According to the statement, Officials of Rashmi Metaliks Group welcomes the partnership, expressing confidence in Nigeria’s investment potential and pledging to deliver on the terms of the agreement.
It adds that the engagement is also expected to strengthen economic ties between Nigeria and India, particularly in steel, mining and manufacturing.