FRC to issue New Code of Corporate Governance on specific requirements

 By Niyi Jacobs 

The Financial Reporting Council of Nigeria (FRC or Council) has recently been engaging with all Sector Regulators, for the purpose of developing Sectoral Guidelines of Corporate Governance on specific requirements that are not covered under the Nigerian Code of Corporate Governance 2018

 According to the council, the process is ultimately important because of the existing sectoral codes of Corporate Governance that  are to be withdrawn, and  therefore, sectoral Guidelines of Corporate Governance will be issued to address sector specific matters or requirements on Corporate Governance.

As a result of this, NCCG 2018 as the National Code, would be the only Code of Corporate Governance in Nigeria.

WestafricaBusinessNews gathered that  the Council’s expectation is that the Sectoral Guidelines would be released once the engagement with Sectoral Regulators is completed.

 It would also be noted that  Federal Inland Revenue Service (FIRS) and the Corporate Affairs Commission (CAC), will  report on the application of the Code in their annual reports for financial years ending after January 1, 2020 in the form and manner prescribed by the FRC.

 Furthermore, FRC has set up a Web Portal Committee (WPC) comprised of stakeholders, which contributed to the development of an online portal for electronic submissions of reports on compliance with the NCCG 2018.

Members of the WPC are also working with the FRC and others to develop a reporting template to simplify and harmonize Code compliance reporting by reporting entities.

 Similarly, reporting entities are expected to access, complete, and submit the reporting template online.

 WestafricaBusinessNews notes that the online portal is still at the stage of development and a link to the portal will be made available in a subsequent communication.

 The Council has therefore directed   timelines for completing the template for reporting on compliance with the Code for financial years ending after January 1, 2020, in view of varying financial year ends adopted by reporting entities

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