By Philip Atume

Federal government has commenced the disbursement of N5 billion to artisanal and small-scale miners in Nigeria.

The Minister of Mines and Steel Development, Dr. Kayode Fayemi sated, at the signing of MOU with Bank of Industry, BOI, for local miners to access the fund, and integrate them into the formal sector.

He said, “They are in the first instance launching a N5 billion fund, with the ministry’s pilot contribution of N2.5 billion, while BOI will support with another N2.5 billion.”

He also said, with the agreement, he has appointed the bank as Custodian and manager of the Nigerian Artisanal and Small-Scale Miners Financing Support Fund for mining projects.

He revealed that, “The loans would be made available to certified industry participants at a single digit interest rate of 5 percent per annum, which is by far about the most attractive within our jurisdiction”

He said further that, the single obligor limit of loans to be granted under the Fund should be from N100, 000 to N10million for artisanal miners, and N10million to N100 million for small-scale miners.

He also emphasized that, before the grants would be released to the target small scale miners, they must pass through the internal mechanism of the Bank.

The loans which are expected to be paid within one year has single digit interest rate.

Federal government has commenced the disbursement of N5 billion to artisanal and small-scale miners in Nigeria.

The Minister of Mines and Steel Development, Dr. Kayode Fayemi sated, at the signing of MOU with Bank of Industry, BOI, for local miners to access the fund, and integrate them into the formal sector.

He said, “They are in the first instance launching a N5 billion fund, with the ministry’s pilot contribution of N2.5 billion, while BOI will support with another N2.5 billion.”
He also said, with the agreement, he has appointed the bank as Custodian and manager of the Nigerian Artisanal and Small-Scale Miners Financing Support Fund for mining projects.

He revealed that, “The loans would be made available to certified industry participants at a single digit interest rate of 5 percent per annum, which is by far about the most attractive within our jurisdiction”

He said further that, the single obligor limit of loans to be granted under the Fund should be from N100, 000 to N10million for artisanal miners, and N10million to N100 million for small-scale miners.

He also emphasized that, before the grants would be released to the target small scale miners, they must pass through the internal mechanism of the Bank.

The loans which are expected to be paid within one year has single digit interest rate.