The Nigerian government has inaugurated the Board of the Financial Reporting Council of Nigeria (FRC) in Abuja.
FRC is a government agency responsible for developing and publishing accounting and financial reporting standards to be observed in the preparation of financial statements of public entities in Nigeria and for other related matters.
Inaugurating the Board, the Minister of Industry, Trade and Investment, Dr. Okechukwu Enelamah urged it to realign the councils operations with governments diversification drive.
“The investment case is stronger when investors and other stakeholders have increased confidence that their interests are protected. This is where the work of the Council becomes relevant to our economic recovery and growth, ensuring the existence of high quality standards in financial reporting and corporate governance and enforcement of compliance with such standards,” Dr Enelamah said.
The 23-member board is saddled with a critical role of ensuring that economic agents in Nigeria produce and publish high quality financial information that underpins the work of the capital markets and indeed the overall economy.
“The inauguration of a new FRC Board will help restore full board oversight to the Council and thereby enable the organisation to carry out its mandates more effectively… The members are expected to work with the reconstituted Board to chart a new direction for FRC towards effective delivery of the Council’s mandates,’’ the minister explained.
The Chairman of the board, Mr. Adedotun Sulaiman said the council would raise the quality of financial reporting and corporate governance in Nigeria.
According to him, “effective public financial management is critical in government’s drive to improve the quality of life of the ordinary Nigerian. We therefore plan to focus on this area as we settle down for business in order to enhance government’s efforts in the area of transparency and the fight against corruption.’’
Open to constructive dialogue
“We will constructively engage with relevant stakeholders and forge strategic alliance with other relevant agencies and organisations. The new board shall remain open to constructive dialogue and critique from all stakeholders. The board shall work collaboratively with and also open and maintain dialogue with management to unity of purpose, mutual understanding, respect and trust…The board success shall hinge on the quality and adequacy of the human resources available to assist in the delivery of its mandate. We will therefore work with the management to develop the requisite human capital to deliver on the mandate,” he promised.
Financial Reporting Council of Nigeria, FRC’s objectives are to protect investors and other stakeholders’ interest, give guidance on issues relating to financial reporting and corporate governance to professional, institutional and regulatory bodies in Nigeria. Also, it ensures good corporate governance practices in the public and private sectors of the Nigerian economy, accuracy of financial reports and corporate disclosures, pursuant to the various laws and regulations currently in existence in Nigeria.