FRC links firms’ financial difficulties to weak corporate governance

The Financial Report- ing Council of Nigeria (FRC) has attributed financial difficulties being experienced by companies operating both within and outside the country to weak corporate governance.

Maryam Ladi Ibrahim, chairman, governing board, FRC, said this Tuesday in Lagos at the public hearing on the draft national code of corporate governance for pri- vate and public sector entities.

The concept of good cor- porate governance, accord- ing to Ibrahim, is essential to the wellbeing of companies and their stakeholders.

“The mass outcry in Nige- ria in the recent past years is a great concern; as instead of building strong institutions for the benefit of the country, individuals became more powerful than the nation due to weak corporate gover- nance structure in the public sector and other organisa- tions that require the promo- tion of its activities with great regards to the fiscal respon- sibility and accountability,” she told participants at the one-day public hearing.

Until recently, corporate governance was not on the front burner in the public space, it was only a phenome- non prominent in boardroom and academic environment.

IHEANYI NWACHUKWU