Although it has historically been focused in the oil and gas industry, foreign direct investment (FDI) has been a key contributor to Nigeria’s economic growth. However, because of government initiatives to diversify the economy and enhance the regulatory environment, foreign investors are starting to show more interest in Nigeria’s mining industry. FDI in the mining sector increased by over 25% between 2019 and 2023, indicating a positive shift in the industry’s potential.
The mining industry brought in around $100 million in foreign direct investment (FDI) in 2022, up from $78 million in 2019, according to data from the Nigerian Investment Promotion Commission (NIPC). Exploration, mining equipment, and mineral processing are important investment areas. Investors from nations such as China, India and Brazil.

Nigeria has abundant mineral reserves, including gold, lead, zinc, and limestone, which have attracted the attention of Canada and South Africa. To increase the mining industry’s appeal to international investors, the Nigerian government has implemented a number of policies. These include access to foreign exchange, tax breaks, and waivers of customs duties for businesses that make mining investments. The MMSD has also simplified the licensing procedure, cutting down on bureaucratic red tape and facilitating investors’ access to the market.
Notwithstanding these initiatives, there are still issues, such as poor infrastructure, unrest in some mining areas, and a dearth of geoscientific information for potential investors. Nonetheless, the Nigerian government remains hopeful of reaching its goal of drawing $1 billion in FDI to the mining industry annually with more changes. by 2025. It is anticipated that this investment inflow will stimulate economic expansion, boost exports, and enhance job possibilities in the industry.