The Nigerian Extractive Industries Transparency Initiative (NEITI) has reported that the Federal Government received ₦1.37 trillion from the solid minerals sector in 2023.

NEITI Executive Secretary Orji Ogbonnaya Orji stated that the “2023 Solid Minerals Audit Report” provides a comprehensive overview of the sector’s contributions from 2007 to 2023, during which a total of ₦1.137 trillion (about $3.86 billion) in direct payments was made to various government levels.

Orji emphasized that the solid minerals sector has evolved into a vital revenue contributor for Nigeria, with cumulative contributions now exceeding ₦1 trillion. He noted that the potential for further growth exists as regulatory compliance and reporting continue to improve.

The report, conducted by indigenous firm Haruna Yahaya and Co., covered the sector’s economic contributions, revenue streams, and exports, offering recommendations for reforms.

In 2022, the sector generated ₦345.41 billion, with a reconciled final revenue of ₦329.92 billion. Company payments analysis indicated that total government revenue, including reconciled and unilaterally disclosed figures, reached ₦401.87 billion in 2023.

Key revenue streams included VAT (₦128.32 billion), FIRS taxes (₦370.09 billion), Education Tax (38.64%), Company Income Tax (10.64%), and royalties (₦9.06 billion). Discrepancies initially amounted to ₦301.6 billion but were reconciled down to ₦100 million, demonstrating NEITI’s transparency commitment.