Nigeria is taking steps to reposition its steel sector to meet international standards, the country’s Ministry of Steel has announced.
Minister of Steel Development, Prince Shu’aibu Abubakar Audu, stated that the government is engaging development partners and donor agencies to accelerate growth in the sector. He made this statement while receiving representatives of these organisations at the ministry’s headquarters in Abuja, the nation’s capital.
According to the minister, financial and technical support from international stakeholders will be crucial in revitalising key steel assets and advancing Nigeria’s industrialisation agenda.
In a meeting with representatives from the United Nations Development Programme (UNDP), the United Nations Industrial Development Organisation (UNIDO), the African Export-Import Bank (@afreximbank), the @ausgov High Commission in Nigeria and others, I requested strategic… pic.twitter.com/NZDfNnjf6L
— Prince Shuaibu Abubakar Audu (@HMShuaibuAudu) February 19, 2025
He stressed that the steel sector is capital-intensive and that there was an urgent need for massive investment to upgrade the infrastructure and operational capacity of the industry.
Highlighting the financial constraints, the minister said, “We are facing significant funding challenges, but the president has mandated us to think outside the box and explore innovative solutions.
“We have approached the Budget Office and the National Assembly for increased funding beyond the initial budget proposal.
“In addition, we are actively engaging donor agencies to bridge the gap. Steel production requires substantial investment, whether in raw material processing, infrastructure like deep-sea ports, or rehabilitating existing steel plants.”
Addressing the 2025 budget for the steel sector, the minister described it as a strategic blueprint to transform the industry into a globally competitive and sustainable driver of Nigeria’s economy.
“While our capital budget for 2025 outlines an ambitious roadmap, we recognise the financial hurdles ahead.
“Transforming a capital-intensive industry like steel requires significant investment beyond what the government alone can provide. This is why we seek the partnership of international development agencies, whose technical expertise, financial resources, and global experience are indispensable.
“In this spirit of shared purpose, I request your technical assistance, financial investments, and strategic guidance. Together, let us build a future where Nigeria’s steel industry is a dynamic engine of growth, a generator of jobs, and a cornerstone of our economic diversification.
“Ladies and gentlemen, the Ministry of Steel Development stands at the threshold of an industrial renaissance, a renaissance that promises to reshape our nation’s economic landscape.”
The vision laid out in our 2025 capital budget is both ambitious and necessary, encompassing the revitalisation of legacy assets, capacity development, policy reforms, and the promotion of domestic and international trade. Yet, as we embark on this journey, we recognise that our success hinges on the strength of our partnerships. He said.
Stressing further, the minister said that there was a need for collaboration and support of the stakeholders to succeed.
Audu said, “I enjoin you to join us in this journey. Your support today will pave the way for a thriving steel sector that not only fuels Nigeria’s industrial engine but also builds a better, more prosperous future for all.”
In the same vein, the Permanent Secretary in the ministry, Dr Chris Osa Isokpunwu, harped on the importance of a collaborative approach to sustainable development.
Responding, the various international development partners in attendance expressed their willingness to collaborate with the Nigerian government.
The Australian High Commission in Nigeria assured support, particularly in technical assistance, citing synergies between Australia and Nigeria in steel production.
Dr. Osuji Otu, Nigeria’s Country Representative for UNIDO, acknowledged the steel sector’s vital role in industrial development and revealed that UNIDO is preparing to launch a 2024–2028 country partnership program.
Ms. Elsie Altafua, UNDP Country Representative, reiterated UNDP’s commitment to providing technical assistance, aligning with Nigeria’s five-year strategic plan for steel development.
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