Nigeria’s Steel Sector Attracts $500M in Foreign Investment
Nigeria’s steel industry has attracted more than $500 million in foreign direct investment over the past 20 months, marking a significant step in the country’s industrialisation efforts. This was revealed by the Minister of Steel Development, Prince Shuaibu Abubakar Audu, during a press briefing in Abuja ahead of the first National Steel Summit, set for July 16–17, 2025.
The minister said the investments reflect renewed global confidence in Nigeria’s economic direction, aligning with President Bola Tinubu’s Renewed Hope Agenda to reduce the country’s heavy reliance on steel imports, which currently cost about $4 billion annually. He described the investment level as unprecedented in Nigeria’s steel history and highlighted it as proof of growing faith in the country’s reform agenda.
Two major projects are at the forefront of this progress. The first is a $400 million facility being developed by Stellar Steel Company Limited, part of the Inner Galaxy Group, which will focus on producing hot rolled coils and steel plates. The second is a $100 million galvanising plant launched by Orbit Fabrication and Galvanising Works Limited, which will produce 50,000 tonnes annually.
Audu also shared updates on the long-dormant Ajaokuta Steel Plant, stating that partial operations are expected to resume before the end of the current administration’s first term. He emphasized the plant’s importance to Nigeria’s broader industrial vision and noted that efforts are ongoing to bring at least one section back online soon.
Beyond attracting investment, the minister said the government is focused on building a self-sufficient steel sector by using Nigeria’s iron ore resources and supporting local value chains. He stressed that the goal is not just to attract funds, but to ensure Nigerian steel meets global quality standards, supports job creation, technology transfer, and contributes to stronger infrastructure.
Efforts are also underway to improve regulatory frameworks, enhance product quality, prevent structural failures, and boost Nigeria’s competitiveness in global steel markets.
The upcoming National Steel Summit, to be opened by President Tinubu, will gather key public and private sector leaders to assess the current state of the industry and develop a strategy for long-term growth. According to the minister, the summit will focus on finding policy solutions, fixing infrastructure gaps, and promoting investment and innovation across the sector.
He assured stakeholders that the event will be action-oriented and offer opportunities for networking, partnerships, and deal-making across the steel value chain. Audu concluded by reaffirming the government’s commitment to building a strong, self-reliant steel industry that can drive Nigeria’s economic transformation and serve as a foundation for Africa’s broader industrial growth.