The Minister of Solid Minerals Development, Dele Alake, has said that the economic reforms introduced by President Bola Ahmed Tinubu prevented Nigeria from sliding into a full-scale economic collapse.
Speaking in Abuja at the 2026 Nigeria Revenue Service–Ministry of Solid Minerals Development joint stakeholder sensitisation programme for the North Central zone, Alake maintained that the removal of fuel subsidy in 2023 was the key step that averted a national economic breakdown.
The event, themed “From Resource to Revenue: Aligning Solid Minerals Operations with the 2025 Tax Reform Act,” was used by the minister to review Nigeria’s economic history, which he linked to long-standing structural problems and a gradual shift from production to consumption-driven growth.
A statement issued by Kania Maliki A., Head of the Press and Public Relations Department, said the minister attributed Nigeria’s economic challenges before the Tinubu administration to a decline that began in the late 1980s when the country moved away from local manufacturing towards heavy dependence on imports.
He explained that this shift weakened domestic industries, led to widespread job losses, and contributed to the depreciation of the national currency.
Alake recalled the earlier strength of the naira and used a personal experience to highlight its long-term fall in value. He said, “We were importing everything importable, including toothpicks, including orange juice. Things that we could produce internally that we were producing before, when our currency was strong,” and added, “I was privileged to have lived in this country when the naira was strong, and in the early 80s I bought $1 for 80 kobo. $1 for 80 kobo, that wasn’t even the official rate. Then the official rate was 52 kobo.”
He also faulted previous administrations for failing to take difficult decisions needed to change the economic direction of the country. According to him, Nigeria spent heavily on non-essential imports such as wigs while also relying on loans to finance recurrent expenditure.
He warned that without the removal of fuel subsidy, Nigeria’s economy would have been at risk of total collapse by September 2023. He said, “What would have happened to Nigeria by September 2023 if the president had not removed fuel subsidy, the economy would have crashed completely,” adding that the country had been borrowing to pay salaries rather than investing in capital development.
He further explained that when external lenders became unwilling to extend credit due to Nigeria’s declining ratings, authorities resorted to printing money, claiming, “What did we start to do? We started to print currency locally, we printed over 20 trillion,”
Alake compared the current reform efforts to a rescue operation, saying the government’s immediate priority was to stabilise the economy and prevent further deterioration before pursuing long-term recovery strategies.
Also speaking at the event, the Permanent Secretary of the Ministry, Engr. Faruk Yusuf Yabo, stressed the importance of the solid minerals sector in diversifying Nigeria’s economy and creating jobs.
He said stronger compliance, transparency, and closer coordination with the Nigeria Revenue Service were essential to improving revenue generation.
Yabo added that proper implementation of the 2025 Tax Reform Act would help reduce revenue leakages in the mining sector and ensure the country benefits more effectively from its mineral resources.
He concluded by calling for stronger collaboration among regulators, operators, and industry stakeholders, especially in implementing the government’s updated royalty framework aimed at boosting revenue and supporting sector growth.