On Wednesday, the Senate advanced a bill to its second reading, aimed at establishing provisions for the Nigerian gold reserve industry.
Sponsored by Senator Natasha Akpoti-Uduaghan (PDP, Kogi Central), the bill seeks to develop a comprehensive framework for the extraction, exploitation, and marketing of Nigeria’s gold, which boasts reserves of around 600,000 metric tonnes worth $45 billion.
In her lead debate, Senator Akpoti-Uduaghan emphasized the bill’s potential to drive economic growth and diversification. She stated, “The proposed legislation presents a significant opportunity to drive economic growth and diversification by creating a conducive environment for investment in the gold sector, which can attract both domestic and foreign investors, stimulate job creation, and boost revenue streams for the government.”
She also highlighted that the bill incorporates stringent regulations to minimize the ecological impact of gold mining and processing activities. “By adhering to international best practices in gold mining and trading, the Nigerian Gold Reserve Bill positions Nigeria as a reliable and responsible player in the global gold market, enhancing our competitiveness on the international stage and strengthening investor confidence in our gold industry,” she added.
The bill proposes the establishment of the Nigeria Gold Authority (NGA), which would be responsible for administering the Nigerian Mining Act concerning gold resources.
Senators who contributed to the debate broadly supported the bill, recognizing it as essential legislation to unlock the full potential of Nigeria’s gold reserves for the benefit of all Nigerians.
Senator Solomon Olamilekan Adeola (APC, Ogun West) specifically noted that the bill, once passed into law, could significantly enhance the value of the naira, potentially leading to substantial appreciation even without foreign investment.
