FRC issues Corporate Governance Code

The Financial Reporting Council (FRC), the Ministry of Finance Incorporated (MOFI), and the Institute of Directors Center for Corporate Governance have issued the exposure draft of the code of corporate governance guidelines for the public sector.

Rabiu Olowo, the Executive Secretary/Chief Executive of the FRC, and Armstrong Takang, the Chief Executive of MOFI, made this known as a precursor to their upcoming National Corporate Governance Summit in Lagos, yesterday.

The convener of the summit, Institute of Directors Center for Corporate Governance, U.K Eke, noted that the importance of imbibing corporate governance in public and private institutions remains a catalyst to achieving the $1 trillion economy.

“For us, we are looking at an issue of $1 trillion, and one of those things that will enable it is the right corporate governance. As we begin to entrench the right corporate governance, we will have to enhance shareholder value because it has been proven, that has a direct positive connotation, between corporate governance and corporate performance. If you look at corporate failures, on account of technical insolvency, you have to put corporate governance at the center to understand why the business crashed.’’

The summit holding later this month with the theme: “Institutionalising Corporate Governance for National Transformation: The Imperative for Public-Private Sector Collaboration” will discuss the significance of fostering partnerships between government entities and private businesses to drive sustainable development enhance service delivery and promote economic growth“The National Corporate Governance Summit is designed to be a distinguished and impressive gathering of minds examining changes, trends, and challenges best practices in corporate governance in Nigeria with a focus on the impact on national transformation.

“It serves as a premier platform that assembles practitioners, industry leaders, experts, and professionals to discuss critical issues that shape the governance landscape in public and private organizations while offering unmatched networking opportunities that promote knowledge exchange, brand recognition, and collaboration.

“The major outcomes 2022 summit include the need to improve and deepen corporate governance principles and practices in every organization in Nigeria be it public or private and practices in every organization in Nigeria. I believe that this particular outcome is not unconnected to the fact that today the FRC has exposed the code of corporate governance not only for the corporate sector but also for public institutions.

‘’So it means that the outcomes of the previous summit are being taken seriously

It also included under publication of a corporate governance compliance checklist by all Nigerian companies detailing any gaps and timelines to comply.

‘’It also includes striving to incorporate ethical, based governance system in both private and public sectors of the Nigerian economy, to determine, set and enforce entry standards for people, indeed, in organizations and public institutions.”