Mr Shuaib Abubakar, the Minister of Steel Development, revealed that Nigeria’s expenditure on steel imports amounts to approximately $8 billion per year.
Highlighting the importance of revitalizing the Ajaokuta Steel Company, he emphasized the necessity for its functionality.
During an interactive session with the House of Representatives Committee on Steel Development in Abuja, the minister discussed the ongoing efforts to revive the Ajaokuta Steel Company.
Discussing the financial implications, he stated, “The revival of Ajaokuta Steel will require significant investment. We have prepared a 10-year revival plan which will be presented to the President.”
Emphasizing his personal interest in the project as a native of Kogi State, Abubakar mentioned that the Federal Government had already spent $500 million to terminate a concession agreement related to Ajaokuta Steel.
Addressing the longstanding challenges faced by the steel industry, he mentioned exploring partnership opportunities with China, seeking financing, and adapting to technological advancements to find sustainable solutions for the company.
He also acknowledged the critical role of adequate funding in developing the steel industry and fostering industrialization in the country.
Regarding the requested $2 billion for the revival project, the minister clarified that this amount was preliminary and subject to adjustments based on the outcomes of technical evaluations.
He expressed the President’s directive to find a viable solution for Ajaokuta Steel, underscoring the importance of support from all stakeholders in realizing this objective.