The Nigeria Extractive Industries Transparency Initiative (NEITI) has warned that a declining transparency rating could severely undermine Nigeria’s efforts to attract foreign direct investment (FDI) into its critical extractive sectors.
​Speaking at a civil society roundtable in Abuja, the Executive Secretary of NEITI, Hon. Musa Sarkin Adar emphasized that international investors are increasingly prioritizing Environmental, Social, and Governance (ESG) metrics, with fiscal transparency acting as a non-negotiable benchmark.
​The agency noted that failing to maintain rigorous standards of public disclosure in the oil, gas, and mining industries creates an environment of uncertainty, which ultimately drives capital to more transparent competing economies.
​According to NEITI, the global extractive landscape has evolved, and secrecy is now viewed as a high financial risk. When data regarding revenue generation, contract awards, and production volumes remain shielded from the public, it signals institutional instability to the international market.
​”Investors want predictability, and predictability is built on transparent systems,” the NEITI chief stated. “A poor rating doesn’t just damage our reputation; it places a direct premium on the cost of doing business in Nigeria.”
​The warning comes at a time when Nigeria is actively seeking massive capital injections to modernize its energy infrastructure and expand its solid minerals sector. NEITI stressed that without a demonstrable commitment to accountability, even the most lucrative resource deposits may fail to attract top-tier global partners.
​To mitigate these risks, NEITI called on government agencies and state-owned enterprises within the extractive value chain to strictly adhere to statutory audit and disclosure requirements.
​The agency urged closer collaboration between the government, private operators, and civil society to ensure that Nigeria’s upcoming international assessments reflect genuine progress. By institutionalizing open data practices, NEITI argues that the nation can reassure the global financial community, secure vital investments, and ensure that resource wealth translates into tangible economic growth.
