The Financial Reporting Council of Nigeria (FRC), along with the Nigeria Integrated Reporting Committee (NIRC), has unveiled a series of training programs to improve sustainability reporting standards in Nigeria.
Dr. Innocent Okwuosa, the Chairman of NIRC and the immediate past president of the Institute of Chartered Accountants of Nigeria, spoke to journalists on Thursday. He explained that this initiative is part of a larger effort to implement the International Sustainability Standards Board (ISSB) Sustainability Standards. This aims to enhance transparency and accountability in corporate reporting.
Okwuosa praised Nigeria for being the first African nation to announce the adoption of ISSB standards. He mentioned that the main goal of partnering with the FRC is to avoid the problems encountered during the implementation of international financial reporting standards.
He said, “The FRC has signed a Memorandum of Understanding with the NIRC, making it a technical partner to ensure effective advocacy, capacity building, and smooth implementation of the new standards.”
To build capacity, a series of training sessions will start on July 10th. These sessions will target financial institutions and other important sectors. Experts from the ISSB and the Pan-African Federation of Accountants (PAFA) will lead these sessions.
Okwuosa stressed the broader importance of adopting these sustainability standards. “Sustainability reporting will help unlock capital in the capital market by improving transparency and reducing the cost of capital for businesses,” he explained. He also noted that globally, investors are increasingly demanding strong sustainability information to make informed decisions, especially regarding climate-related risks.
He added that the partnership comes from the creation of the Adoption Readiness Working Group by the FRC. This group is responsible for developing a roadmap for integrating ISSB’s Sustainability Standards in Nigeria. The roadmap, which spans from 2023 to 2030, starts with voluntary adoption in 2023 and moves to mandatory adoption for all public interest entities and listed companies in later years.
The NIRC, established in 2017, has been a strong supporter of integrating sustainability and financial reporting. Its membership includes representatives from major regulatory bodies such as the Central Bank of Nigeria (CBN), the National Insurance Commission (NICOM), the Pension Commission (PENCOM), the Securities and Exchange Commission (SEC), and the Nigerian Stock Exchange (NGX), among others.
