Over the years, unemployment has been a serious challenge to Nigeria’s economic development as its teeming youth population adjudged to be one of the most vibrant and promising in Africa and the world, had remained unproductive. The avalanche of graduates from the nation’s tertiary institutions, and informal sector has become worrisome.
They have turned out to be available instruments of crime and have engaged themselves with one form of questionable livelihood or another for survival. It has become imperative to point out the amazing window created in the nation’s solid minerals sector to solve the daunting challenge of youth unemployment.
According to the National Bureau of Statistics, the solid minerals sector can very easily be the largest employment sector of the economy, since deposits abound in virtually every state of the federation. The report indicated that the sector has the potential to create unprecedented increase in employment of Nigerians, particularly in the rural areas where the minerals are found. The multiplier benefits to the citizenry are enormous.
It further stressed that the sector has the potential to be transformed through technology transfer from the activities of operators and consequently increasing employment opportunities in the various mining sites.
Global developments
Countries like South Africa in 2009, had its mining sector contributing for about 9 percent of Gross Domestic Product, GDP, and had an employment of over 500,000 people. The United States of America, USA, alone provides over 670,000 direct jobs in its mining sector. Coming to Australia, about 320,000 direct jobs was created in the mining sector.
While in Canada over 200, 000 people had employment in the mining sector. South Africa, as one of the major players in the global mining industry, created half a million indirect jobs in addition to direct jobs.
Tweaking economic mix
In this regard, the Nigerian Senate had extensive deliberation on the sector as a major solution to unemployment and wealth creation in the nation’s economy. According to the Upper Chamber, over-dependence on dwindling oil resources in the country has led to unprecedented level of poverty, soaring unemployment indices, deepening gap between the rich and poor, rising crime, and unabated corruption pervading the length and breadth of all socio-economic strata.
In his assertion, Senator Ahmed Lawal, said it has become a reality in the current free-fall in global oil prices, which indicates that the nation’s oil sector alone cannot create jobs for the teeming population and rather, job creation could be achieved in the solid minerals sector.
On his part, Senator Ayogu Eze, said it was high time government harnessed the huge employment opportunities in the solid minerals sector, even as he acknowledged the fact that the revenue generated through the sale of solid minerals was more reliable than petroleum products. Eze also charged the National Assembly to move swiftly to use its constitutional position to bring about revolution in the sector.
In view of this, government should create the enabling environment in improving the Nigerian mining industry that would help curb the growing level of unemployment, reduce poverty, expand the industry, attract more players for robust competition, wealth creation, and reliable source of revenue generation.
With such huge employment potential, experts insist that it is imperative to also implement the Nigerian Local Content Law, as the starting point for facilitating job creation in the solid minerals sector, as being currently implemented in the oil and gas sector. This will aid statutory framework for Nigerian players in the sector to harvest the technological, industrial and economic intangible capital assets being generated by activities that will further develop the local economy.
In essence, this will go a long way to increase indigenous participation in the solid minerals, as well as in the transfer of technology and skills to Nigerians. The informal section of the sector should also be empowered and developed because of the huge number of artisanal miners engaged in this category.
They have turned out to be available instruments of crime and have engaged themselves with one form of questionable livelihood or another for survival. It has become imperative to point out the amazing window created in the nation’s solid minerals sector to solve the daunting challenge of youth unemployment.
According to the National Bureau of Statistics, the solid minerals sector can very easily be the largest employment sector of the economy, since deposits abound in virtually every state of the federation. The report indicated that the sector has the potential to create unprecedented increase in employment of Nigerians, particularly in the rural areas where the minerals are found. The multiplier benefits to the citizenry are enormous.
It further stressed that the sector has the potential to be transformed through technology transfer from the activities of operators and consequently increasing employment opportunities in the various mining sites.
Global developments
Countries like South Africa in 2009, had its mining sector contributing for about 9 percent of Gross Domestic Product, GDP, and had an employment of over 500,000 people. The United States of America, USA, alone provides over 670,000 direct jobs in its mining sector. Coming to Australia, about 320,000 direct jobs was created in the mining sector.
While in Canada over 200, 000 people had employment in the mining sector. South Africa, as one of the major players in the global mining industry, created half a million indirect jobs in addition to direct jobs.
Tweaking economic mix
In this regard, the Nigerian Senate had extensive deliberation on the sector as a major solution to unemployment and wealth creation in the nation’s economy. According to the Upper Chamber, over-dependence on dwindling oil resources in the country has led to unprecedented level of poverty, soaring unemployment indices, deepening gap between the rich and poor, rising crime, and unabated corruption pervading the length and breadth of all socio-economic strata.
In his assertion, Senator Ahmed Lawal, said it has become a reality in the current free-fall in global oil prices, which indicates that the nation’s oil sector alone cannot create jobs for the teeming population and rather, job creation could be achieved in the solid minerals sector.
On his part, Senator Ayogu Eze, said it was high time government harnessed the huge employment opportunities in the solid minerals sector, even as he acknowledged the fact that the revenue generated through the sale of solid minerals was more reliable than petroleum products. Eze also charged the National Assembly to move swiftly to use its constitutional position to bring about revolution in the sector.
In view of this, government should create the enabling environment in improving the Nigerian mining industry that would help curb the growing level of unemployment, reduce poverty, expand the industry, attract more players for robust competition, wealth creation, and reliable source of revenue generation.
With such huge employment potential, experts insist that it is imperative to also implement the Nigerian Local Content Law, as the starting point for facilitating job creation in the solid minerals sector, as being currently implemented in the oil and gas sector. This will aid statutory framework for Nigerian players in the sector to harvest the technological, industrial and economic intangible capital assets being generated by activities that will further develop the local economy.
In essence, this will go a long way to increase indigenous participation in the solid minerals, as well as in the transfer of technology and skills to Nigerians. The informal section of the sector should also be empowered and developed because of the huge number of artisanal miners engaged in this category.
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