The newly established Ministry of Steel Development has earmarked a significant N2.6 billion for the project mobilization of Ajaokuta Steel Company Limited (ASCL) in the 2025 budget. This allocation is part of a broader N24 billion budgetary provision for the sector, as presented by President Bola Tinubu to the National Assembly.
In addition, N250 million has been set aside for the revitalization of both Ajaokuta Steel Company Limited and the National Iron Ore Mining Company (NIOMCO) in Itakpe, a move aimed at boosting the country’s steel production capabilities and addressing critical infrastructure gaps in the sector.
Ajaokuta Steel itself, from its own budget allocation of N6.8 billion, has dedicated the lion’s share N6.3 billion toward personnel costs. The company has also budgeted N2.4 million for overhead expenses. Meanwhile, recurrent costs total N6.4 billion, and N3.9 million has been allocated for capital expenditures to support ongoing operations and development.
This strategic financial commitment underscores the government’s determination to revive and expand Nigeria’s steel industry, which has faced significant challenges in recent years.
