Oil price fluctuation affects budget planning – FG

The Federal Government (FG) have said that oil price fluctuation in the international market affects budget planning in the country.

Minister of Labour and Employment, Chris Ngige  who made the comment said that the price fluctuation scenario also causes confusion for Nigeria in terms of projections.

He said that Nigerians need to be encouraged to go into the mining sector especially the area of precious stones to enable the issue of oil be a thing of the past.

Speaking in Abuja at the African Gems and Jewelry Exhibition and Seminar (AGJES2018), titled ‘mines to market, collaborating to improve industry linkages’, Ngige said that the only way Nigeria can know it has stability is through mining because the prices bearly sways.

His words, “When you talk of the mining industry, you must talk about the workers there, unfortunately today in the industry, what we have there are illegal workers and artisinal miners who are not documented. We know that it takes just a little thing to make them formal sector miners, just form corperatives for them, we need to look into the issue of corperatives in agriculture, mining, oil and gas everywhere because it is through corperatives that we can get them well documented properly, formalized and encouraged.

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“We need to encourage people to go into the mining industry, especially in the area of precious stones, we should try to encourage and when we do, the oil issue will be a thing of the past. Oil i no longer envouge, infact the price fluctuation scenario causes confusion for Nigeria in terms of our projections and budgeting.

“The only area where we can know we have stability because the prices rearly sways is in mining so we pray that God will assist Nigeria.”

Minister of State for Mines and Steel Development, Hon. Abubakar Bwari said that the sheer beauty of Nigeria’s gemstones, makes them easy prey for smugglers.

His words, “I am impressed by the seminar component of this event because for too long Nigeria was seen as an oil nation rather than a mining nation despite the fact that mining began here in 1902.

“The seminars will therefore help in educating the world about the beautiful gemstones we have in Nigeria from the blue sapphires at the plains of the Mambilla to the amazing rubelite tourmaline that recently sold at 180 dollars per carat. Ironically, the sheer beauty of our gemstones make them easy prey for smugglers and money launderers. We have since began reforms in the sector with the hope of ensuring proper policing of the gemstone sector across the value chain from prospecting, to exploration, to mining, processing and marketing.

“The central point of our gem policy is to ensure due process in our gemstone mining and marketing activities in line with international best practices. We also hope to help artisans get good prices for their gemstones while boosting our GDP by ensuring due repatriation of gemstone export proceeds through the CBN.”