Nigeria’s business leaders and policymakers have echoed that boosting ethical governance and regulatory reforms is key to sustainable economic growth, investor confidence, and global competitiveness.
Nigeria’s Turning Point: Leadership Demands and Governance Risks
At SCGN’s 20th Corporate Governance Conference in Lagos, urgent calls echoed for governance reforms across boardrooms and ministries. Former minister Dr Omobola Johnson cautioned that automation, climate risks, and ongoing migration are eroding talent and resilience.
The “future of governance depends on balancing technology, ethics, and human-centred leadership,” Johnson noted, stressing how subsidy removals and naira devaluation have strained Nigeria’s ethical core.
Reforming for Trust: Codes, Compliance, and Transparency
Panellists led by Taiwo Oyedele demanded tangible reforms: regular board reviews, adoption of global governance codes, and institutionalised risk monitoring.
Oyedele highlighted Nigeria’s outdated withholding tax structure and “near-zero” tax literacy, calling for more public education and compliance to close trust gaps.
Director-General of the Securities and Exchange Commission (SEC), Dr Emomotimi Agama elucidated that embedding ESG practices “improves transparency, stimulates growth, and attracts investment.”
Dr. Rabiu Olowo, Executive Secretary/Chief Executive Officer of the Financial Reporting Council of Nigeria (FRCN), highlighted the detailed new accountability frameworks for SMEs and public entities, alongside warnings about cyber threats, data manipulation, and AI disruption.
AIDAP Table: Highlights from the SCGN Regulatory Forum
Section | Theme/Action | Key Data/Quote
Attention | Ethical leadership, governance risk | “Talent migration has hit productivity”
Interest | Board reviews, codes, compliance | “Tax literacy is near zero”
Desire | ESG adoption, market reforms | “Improves transparency, attracts capital”
Action | New frameworks, SME codes, sanctions | “FRCN prioritizes ethics, applies sanctions”
Path Forward | Technology, ethics, human leadership | “Balance digital tools with human values”
The ESG Imperative: Building for Inclusion and Resilience
Experts point to Nigeria’s future competitiveness resting on strong ESG standards and ethical habits. Alignment with global best practices, they say, is non-negotiable.
As Agama observed, “ESG adoption strengthens investor trust and global relevance.” Regular board reviews and tailored reforms are now seen as cornerstones for resilient institutions.
Realigning Policy: Reporting, Regulation, and Accountability
In partnership with industry leaders, the FRCN and SEC are designing new governance codes for SMEs and public agencies. Exposure drafts seek feedback on proposals for continuous board oversight, cyber risk prevention, and integrating ESG in risk management frameworks.
To strengthen ethical standards, new sanctions and enforcement tools have been announced. As Olowo explained, “Disruptive technology demands stronger governance; transparency and sanctions are now mandatory” to ensure lasting accountability.
Path Forward – Navigating Disruption: Digital Tools, Ethics, and Education
Looking ahead, the speakers emphasised that Nigeria’s governance journey must recognise emerging risks and adopt a multi-pronged strategy. This includes:
- Accelerating board capacity building and tax literacy,
- Formalising regular compliance checks,
- Integrating AI and cybersecurity into governance practice,
- Prioritising ESG for corporate and public sector actors.
Summary Table: Reform Steps for Governance Excellence
Reform Area | Core Action | Intended Impact
Board Oversight | Regular evaluations | Risk monitoring, performance
Tax Education | Public awareness & literacy | Fiscal trust, compliance
SME Governance Codes | Exposure & feedback | Inclusion, accountability
ESG Practices | Adoption in corporate reporting | Transparency, global relevance
Cyber & AI Risk Management | Policy integration, sanctions | Resilience, trust, ethical norms
SCGN-led advocacy is guiding Nigeria’s regulatory and governance reforms, equipping businesses and government with tools to navigate digital disruption and economic change.
Action on “ethical leadership, board oversight, ESG standards, and risk mitigation” now sets Nigeria apart, creating a welcoming landscape for sustainable investment and promising more inclusive growth for communities and enterprises alike.
