Economy
SMDF, AFC Partner to Derisk Nigeria’s Mining Sector
By Adedapo Adesanya
The Solid Minerals Development Fund of Nigeria (SMDF) and the Africa Finance Corporation (AFC) have announced a transformative partnership aimed at derisking Nigeria’s mining sector and scaling up artisanal miners in the country to an industrial level of operation.
The collaboration announced on the sidelines of Nigerian Mining Week in Abuja on Tuesday follows a cooperation agreement signed by AFC and SMDF earlier in the year. It is set to address the dearth of expertise and funding for early-stage mining projects, paving the way for these projects to reach financial close and full-scale operations.
Nigeria is rich in mineral resources and has immense potential for mining development. However, the lack of available expertise and funding has posed challenges in advancing mining projects.
AFC and SMDF aim to bridge this gap to unlock the immense potential of Nigeria’s mineral resources. By pooling their resources and expertise, these two leading institutions will not only provide investment opportunities but a joint project development facility that includes technical support, ensuring that promising mining projects receive the guidance and funding they need to thrive.
One of the key deliverables of this collaboration is the AFC-SMDF Investment Manual. This comprehensive document will offer project sponsors a clear understanding of how the joint project development facility operates, its objectives, and the specific requirements for project consideration. The manual will also feature an appraisal checklist outlining the criteria that both institutions require for project evaluation.
To streamline the project submission process, AFC and SMDF have created a dedicated portal for project sponsors.
The portal will be managed by PricewaterhouseCoopers (PWC) working with renowned Nigerian consulting firms to screen and conduct initial evaluations. Subsequently, projects will be submitted to AFC and SMDF for further assessment.
To further improve the mining sector in Nigeria, AFC and SMDF have also engaged Wood Mackenzie, a global research and consulting firm, to undertake a comprehensive study assessing the feasibility of establishing a midstream processing plant in Nigeria.
This study will focus on critical minerals such as Lithium, Nickel, and other energy transition metals abundant in the country to evaluate their profitability as well as the return potential of midstream and downstream mineral processing projects.
The study will create a robust foundation for AFC and SMDF to deploy their balance sheets in order to further de-risk the investment landscape for potential investors.
Commenting on this groundbreaking partnership, Mrs Samaila Zubairu, President and chief executive officer (CEO) of AFC, stated, “The world needs African resources to fully transition to clean energy in the long term, and more investment is required to sustainably mine and develop in-continent processing capacity for commodities that are critical to the energy transition.
“This collaboration signifies our commitment to unlock the vast potential of Nigeria’s mineral resources by leveraging the wealth of our renewable energy sources for local processing, thus fostering sustainable development and economic prosperity in Nigeria and Africa.”
On her part, Mrs Fatima Umaru Shinkafi, Executive Secretary and CEO of Solid Minerals Development Fund, said: “We are pleased to deepen our cooperation with the AFC through collaborating on these strategic initiatives to support the Nigerian mining industry. I am incredibly grateful for the Honourable Minister’s support, which has been critical to developing these initiatives.
“These initiatives align with the Renewed Hope Agenda and the Ministry’s Transformation Agenda of leveraging the mining sector to catalyze economic growth, competitiveness, and job creation.”
By Aduragbemi Omiyale
The Governor of Rivers State, Mr Siminalayi Fubara, has presented the 2026 Appropriation Bill to the Rivers State House of Assembly.
The 2026 budget estimate of N1.85 trillion, christened Budget of Resilience for Growth and Development, was presented to the state parliament on Friday.
Mr Fubara stated that the proposed spending for the 2026 fiscal year represents a 24.49 per cent increase over the adjusted 2025 budget, driven by anticipated growth in Federation Account Allocation Committee (FAAC) allocations, derivation revenue and internally generated revenue.
He informed the lawmakers that the state hopes to earn N487.61 billion from internally generated revenue, N936.05 billion from FAAC allocations, derivation funds, Value Added Tax (VAT) and exchange gains, and N382.48 billion from capital receipts, including loans, grants and asset sales.
According to him, N413.11 billion is for recurrent expenditure and N1.405 trillion for capital projects, underscoring his administration’s commitment to accelerating development across the state.
He added that personnel costs would gulp N154.77 billion, while N15.22 billion would fund new recruitments, stating that the budget also provides for pensions, gratuities, death benefits and debt servicing.
Governor Fubara further proposed a 50 per cent increase in overhead expenditure for Ministries, Departments and Agencies (MDAs) to strengthen their operational capacity immediately after the budget is signed into law.
He also stated that the largest allocation under the capital budget is the Works and Infrastructure sector with N533.32 billion, followed by Education with N315 billion and Healthcare with N105.43 billion.
In addition, N41.44 billion is for the Rivers State House of Assembly, N30 billion for the Judiciary, N19.26 billion for Agriculture, N15 billion for Power, N8.5 billion for Chieftaincy and Community Development, N7.98 billion for Sports, N7 billion for Youth Development, N6.5 billion for Women Affairs, and N6.61 billion for Environment and Sustainable Development.
The Governor noted that the budget was designed to sustain economic growth, expand critical infrastructure and improve the welfare of residents, pointing out that it builds on the achievements of his administration despite the challenges experienced by the state.
According to him, the budget prioritises the completion of ongoing road projects, new infrastructure investments, improved education and healthcare services, job creation and expanded economic opportunities for residents.
Describing the proposal as a people-centred budget, he assured Rivers people that every public fund would be judiciously utilised to deliver quality services, attract investment and stimulate inclusive development.
Mr Fubara acknowledged the delayed presentation of the budget and appealed to members of the House of Assembly to give the appropriation bill speedy consideration and passage to facilitate timely implementation.
In his remarks, the Speaker of the Rivers State House of Assembly, Mr Martin Amaewhule, acknowledged that the 2026 Appropriation Bill was presented later than expected but assured the Governor that the legislature would expedite its consideration in the interest of the people of Rivers State.
By Adedapo Adesanya
The Securities and Exchange Commission (SEC) has unveiled plans to make sustainability reporting mandatory for large public interest entities from 2027.
This comes as Nigeria moves to align its corporate disclosure framework with global environmental, social and governance (ESG) reporting standards.
The phased implementation will begin with voluntary adoption by early adopters and large public interest entities before becoming mandatory in 2027. The requirement will extend to other public interest entities in 2028 and small and medium-scale enterprises (SMEs) by 2030.
The Director-General of the SEC, Mr Emomotimi Agama, disclosed this at the 2026 Financial Institutions Training Centre (FITC) Sustainability and ESG Conference 3.0, themed ‘Building a Sustainable Africa: Integrating Environmental Stewardship, Social Investment, and Strong Governance for a Prosperous Future’ in Lagos.
Mr Agama said Nigeria’s sustainability disclosure regime is being aligned with the International Sustainability Standards Board (ISSB) framework, including IFRS S1 and IFRS S2, which have emerged as the global benchmark for sustainability reporting.
He said that institutional investors increasingly consider ESG performance a key determinant of capital allocation rather than a peripheral corporate responsibility issue, noting that the price of entry is disclosure.
He said the reforms would strengthen investor confidence and position Nigerian businesses to access global capital markets, where sustainability disclosures are becoming an essential investment requirement.
According to him, Nigeria’s capital market has recorded significant expansion, with market capitalisation growing from about N130 trillion to nearly N160 trillion following recent market reforms, while assets under management have surpassed N9 trillion.
To deepen sustainable finance, Agama said the commission was promoting infrastructure, green and municipal bonds, alongside infrastructure-focused investment funds, to mobilise long-term capital for critical national projects.
He added that the commission would also encourage investments in the blue economy and support financing for the power sector through green energy bonds, project bonds and public-private investment structures.
The SEC chief cited the recent launch of the Nigerian Exchange (NGX) Impact Board as another milestone in advancing sustainable finance and urged companies, regulators and investors to move beyond commitments by embedding sustainability into governance, operations and investment decisions.
Economy
International Breweries Plans Share Capital Reduction to Remove N191bn Losses, Enable Dividend Payout
By Aduragbemi Omiyale
The board of International Breweries Plc is proposing a share capital reduction exercise to enable it to pay dividends from future profits.
The brewery firm has been unable to give shareholders a cash reward despite bouncing back into profitability because of accumulated losses of up to N191 billion.
To resolve this issue, which is becoming worrisome to the company’s investors, the board is planning to apply a portion of the balance in the Share Premium Account to eliminate the accumulated losses.
In a notice signed by its scribe, Temitope Oluwatosin, International Breweries informed the Nigerian Exchange (NGX) Limited and the investing public that the share capital reduction should restore distributable reserves and re-establish its capacity to pay dividends to shareholders.
It was disclosed that the transaction would be “executed pursuant to the provisions of Section 131 of the Companies and Allied Matters Act, 2020 (as amended), subject to the appropriate regulatory approval and confirmation by the Federal High Court.”
“Following the elimination of accumulated losses, the company proposes a further reduction of the Share Premium Account to enable the return of capital to shareholders.
“The amount payable per ordinary share will be distributed on a pro rata basis, determined with reference to the total amount approved by the board for distribution from the Share Premium Account,” a part of the disclosure stated.
International Breweries noted that shareholders would be required to vote on the proposed share capital reduction at the forthcoming Annual General Meeting (AGM) scheduled for the Grand Ballroom of the Federal Palace Hotel, Lagos, on Thursday, July 30, 2026, at 11.00 am.
