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FRC Deepens Regulatory Reforms as Stakeholders Align to Strengthen Nigeria’s Financial Integrity Framework

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Nigeria’s drive toward stronger financial accountability and institutional transparency took centre stage as the Financial Reporting Council of Nigeria (FRC) engaged civil society leaders and accountability stakeholders at the 2nd Edition of the Roundtable Engagement on Strengthening Nigeria’s Financial Integrity Framework.

The high-level forum, organised by the New Era for Sustainable Leadership and Accountability Initiative (NESLAI), brought together regulators, reform advocates, and civil society organisations in a strategic dialogue aimed at reinforcing trust, credibility, and ethical leadership within Nigeria’s financial system.

Speaking on behalf of the Executive Secretary and Chief Executive Officer of the FRC, Dr. Rabiu Olowo, Mr. Titus Osawe, Coordinating Director, Directorate of Corporate Governance and Directorate of Inspection and Monitoring, outlined the Council’s expanding regulatory mandate, recent achievements, and emerging challenges.

Mr. Osawe reaffirmed the FRC’s commitment to building a resilient economy anchored on credible financial reporting, sound corporate governance, and sustainability disclosures. He explained that the Council operates on two critical pillars: financial reporting standards, covering accounting, auditing, valuation, and actuarial practices; and non-financial reporting, which includes sustainability and corporate governance.

According to him, the development and enforcement of standards, codes, and regulations remain central to the FRC’s mandate, alongside ensuring strict compliance by regulated entities and professionals.

A major highlight of the engagement was the FRC’s evolving enforcement framework, particularly the implementation of FRC Rule 14 on Non-Compliance with Laws and Regulations (NOCLAR), scheduled to take effect from January 1, 2025. The rule expands the responsibilities of external auditors, requiring them to proactively identify, assess, and respond to both direct and indirect non-compliance issues that may materially affect financial statements.

The Council noted that the new rule closes long-standing regulatory gaps, strengthens investor protection, and enhances public confidence in audited financial reports. It further warned that financial statements signed with invalid FRC registration numbers or unresolved compliance issues would no longer be accepted, while auditors who fail to confirm compliance risk sanctions under the Council’s inspection and monitoring framework.

Mr. Osawe also disclosed that the FRC has fully operationalised its seven statutory directorates, including the Valuation Standards Directorate and the Actuarial Standards Directorate, which were recently activated. As part of this progress, the Council issued a Valuation Regulation and embarked on nationwide advocacy engagements across Lagos, Abuja, Owerri, and Kano, targeting estate valuers, engineers, quantity surveyors, and other valuation professionals to deepen understanding and compliance.

Addressing the Small and Medium Enterprises (SMEs) sector, Mr. Osawe described it as a critical pillar of Nigeria’s economy, noting that SMEs account for over 40 million entities, employ nearly 80 percent of the workforce, and contribute about 50 percent to GDP. He explained that the FRC introduced a Code of Corporate Governance for SMEs to address structural weaknesses that often limit business sustainability.

In addition, the Council rolled out free training programmes on International Financial Reporting Standards (IFRS) for SMEs, targeting both business owners and auditors. He stressed that all SME-focused engagements are provided at no cost, as part of the FRC’s developmental responsibility.

On sustainability reporting, the FRC highlighted Nigeria’s early and comprehensive adoption of the IFRS Sustainability Standards S1 and S2. Mr. Osawe disclosed that Nigeria’s sustained advocacy and sector-by-sector engagement earned the country international recognition from UNCTAD-ISAR, a United Nations body, for advancing sustainability reporting beyond regional benchmarks.

Welcoming participants, Comrade Edwin Olorunfemi, Executive Director of NESLAI, described the roundtable as a defining moment in Nigeria’s accountability journey, stressing that ethical financial systems are fundamental to sustainable development and global competitiveness.

“When financial systems fail, trust erodes, institutions collapse, and hope is weakened. But when financial integrity is protected, nations rise,” he stated, commending the FRC for its consistency in promoting ethical standards across both public and private sectors.

While acknowledging progress, the FRC also raised concerns over resistance from some regulated entities and limited public understanding of its mandate. Mr. Osawe called on civil society organisations to strengthen advocacy efforts, noting that credibility, transparency, and trust cannot be achieved by regulators alone.

In his closing remarks, Comrade Richard Otitoleke, Programme Coordinator of NESLAI, urged participants to translate dialogue into concrete action. He reaffirmed the commitment of NESLAI and allied civil society organisations to supporting the FRC in advancing accountability reforms and protecting Nigeria’s financial future.

As the roundtable concluded, stakeholders agreed that Nigeria cannot build a resilient economy without clean books, ethical leadership, and sustained collaboration between regulators and civil society, united in their resolve to place integrity at the centre of national development.

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Benue Gov Lauds CHEC’s Progress on Strategic Road Project

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The Benue State Government has praised China Harbour Engineering Company Limited (CHEC) for the steady progress and quality of work on the dualization of the Makurdi-Otukpo-Enugu road project, which it described as a critical economic artery for the Idoma Nation and a major north-south transport corridor.Deputy Governor Sam Ode made the commendation during an inspection of the project at the Otukpo corridor, describing CHEC as a “reputable frontline construction firm”. He praised President Bola Ahmed Tinubu and Minister of Works, Engr. David Umahi, for sustaining the project, which is Phase II of the Keffi-Akwanga-Lafia-Makurdi-9th Mile expressway dualization.He said the state government has paid over ₦4.6 billion in compensation to affected communities, covering demolished structures and relocation of public utilities from Wurukum Roundabout in Makurdi to Orokam, the border with Enugu State. “In Otukpo township, we made a special appeal because our people have suffered for years due to the abandoned road. The Minister of Works graciously directed CHEC to prioritise this section, and we have been assured that the Otukpo stretch will be delivered before June this year,” Ode said.Federal Controller of Works, Engineer Munkaila Danladi, said 120km of the 250km road has been completed up to binder course level, with 50km reaching the wearing course stage. Ongoing work includes earthworks, construction of hydraulic structures, and a flyover bridge at Chainage 00. “We assure that by June this year, we should be able to complete the dual carriageway for the Otukpo corridor,” Danladi said.The project is jointly financed by China EXIM Bank and the federal government, expected to boost agricultural trade, reduce travel time, and enhance socio-economic activities in Benue State and neighbouring regions

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CSO Backs Impeachment Bid Against Fubara Over Budget Snub, Legislative Disregard

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A civil society organisation, the National Vanguard for Democratic Coalition (NVDC), has thrown its weight behind the renewed impeachment move against Rivers State Governor Siminalayi Fubara, urging the State House of Assembly to exhaust all constitutional options to address what it described as the governor’s persistent disregard for the rule of law.

The group’s Coordinator, Mr. Felix White, made the call in a statement on Saturday, warning that any attempt by the Assembly to abandon the impeachment process would amount to a betrayal of democratic principles.

White said this marks the third impeachment attempt against Governor Fubara since he assumed office in 2023, a development he said reflects deepening concerns about the governor’s relationship with the legislature.

He accused the governor of allegedly fuelling the ongoing political crisis in the state through actions he said undermine constitutional order and separation of powers.

According to the CSO, Rivers residents are bearing the brunt of the prolonged political standoff, stressing that peace can only return if the governor adheres strictly to constitutional procedures in his dealings with the House of Assembly.

At the centre of the controversy is Governor Fubara’s alleged failure to present the 2026 Appropriation Bill to the Assembly, which the group described as unprecedented among serving governors in the country.

White said the alleged refusal to submit the budget and to recognise the Assembly as an independent arm of government constitute acts capable of being interpreted as gross misconduct under Section 188 of the 1999 Constitution, which provides the legal framework for impeaching a sitting governor.

He further alleged that the governor had failed to meet certain statutory obligations owed to the legislature, describing the actions as a direct affront to democratic governance.

The group urged the Rivers State House of Assembly not to back down from the impeachment process if the governor fails to correct the alleged infractions, insisting that accountability must be enforced to safeguard democracy in the state.

White concluded that the “honourable option” for the governor, should he be unwilling to comply with constitutional provisions, is to step aside to allow for stability and proper governance in Rivers State.

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APC South-South Says Rivers Assembly Impeachment Plot is Retaliation Against Fubara for Rejecting Fictitious Projects in 2026 Budget

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The All Progressives Congress (APC) South-South Group has accused Rivers Assembly lawmakers loyal to FCT Minister Nyesom Wike of instigating impeachment threats against Governor Siminalayi Fubara after he refused to approve fictitious projects in the state’s 2026 budget proposal.

The group made the allegation on Friday in Port Harcourt while responding to claims by members of the Rivers State House of Assembly that Fubara breached the peace agreement brokered by President Bola Ahmed Tinubu to end the protracted political crisis in the state.

Addressing journalists, Comrade Freedom Amadi, coordinator of the APC South-South Group, said the impeachment move was not rooted in any violation of the peace accord but was a calculated retaliation against the governor for resisting pressure to inflate the budget with questionable line items.

“What is unfolding in Rivers State is not a constitutional dispute but a deliberate attempt to punish a sitting governor for refusing to mortgage public finances for private political interests. Governor Siminalayi Fubara did not breach the President’s peace accord; rather, he refused to add fictitious projects to the Rivers State budget, and that refusal is now being weaponised against him,” Amadi said.

Members of the Rivers assembly had accused the governor of acting in bad faith and undermining the Tinubu-brokered deal, arguing that his conduct justified impeachment proceedings. Some lawmakers also claimed that presidential intervention could not stop the legislature from carrying out its planned impeachment of the governor.

The APC South-South rejected that position, warning that such statements amounted to open defiance of presidential authority and posed a threat to democratic stability.

“When legislators publicly declare that not even the President can restrain them, they are not asserting independence; they are advertising institutional insubordination. President Tinubu intervened in Rivers State as the elected President of the Federal Republic of Nigeria, not as a partisan actor, and his peace initiative is not optional or disposable,” Amadi declared.

According to the group, the peace deal was intended to restore stability and allow governance to proceed without coercion, not to subject the governor to political control through the legislature.

“The agreement brokered by Mr President was about restoring calm and respecting constitutional roles, not about handing Rivers State over to political enforcers. Any attempt to twist that agreement into a tool for intimidation or impeachment is a distortion of its spirit and intent,” he announced.

The APC South-South also pointed to the central role of Wike, arguing that lawmakers driving the impeachment process were acting in alignment with the former Rivers governor, now minister of the Federal Capital Territory.

“It is impossible to separate the current impeachment threats from the political influence of Minister Nyesom Wike. The lawmakers pushing this agenda are his loyalists, and their actions reflect a coordinated effort to retain control of Rivers politics through legislative intimidation,” he said.

The group noted that Wike’s continued silence, despite serving in an APC-led federal government, raised serious questions about loyalty to the President who appointed him.

“President Tinubu extended trust and political goodwill by appointing a PDP member into his cabinet in the interest of national unity. That trust is being abused if a serving minister allows his loyalists to openly undermine a presidential peace initiative. You cannot sabotage peace and still claim allegiance to the authority that brokered it,” Amadi noted.

The APC South-South warned that using impeachment to settle political scores would erode public confidence in democratic institutions and weaken legislative credibility.

“Impeachment is a grave constitutional mechanism, not a political cudgel. What we are witnessing in Rivers State is not oversight but vendetta, not accountability but retaliation against a governor who chose fiscal responsibility over political obedience.”

The pro-APC group called on the Rivers State House of Assembly to suspend all impeachment actions and urged the National Assembly to intervene to prevent what it described as legislative excesses.

“Legislative impunity in one state endangers democratic order across the federation. Rivers State does not belong to any individual or faction, and its budget is not a private ledger for political godfathers,” the group maintained.

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