signed into law to replace the Nigerian Accounting Standards Board Act with
new rules. The Council is expected, to among other things:
harmonize regulatory and professional bodies responsible for
corporate governance and financial reporting;
monitor and ensure the accuracy, veracity and fairness of
accounting and financial reports of publicly quoted companies;
issue a Code of Corporate Governance guidelines aimed at promoting
high quality corporate governance and reporting standards in line
with international best practices; and
harmonize various codes of corporate governance in the country to
achieve uniformity.
5.5.3 The new Council is expected to align Nigeria with other countries and improve
investor confidence so as to attract Foreign Direct Investment (FDI) to the
country; produce a more meaningful and decision - enhancing information for
financial statements issued in Nigeria, and establish accuracy and reliability of
financial disclosures of companies operating in Nigeria.
5.5.4 The establishment of the Financial Reporting Council of Nigeria means that
more meaningful and decision enhancing information can now be arrived at
from financial statements issued in Nigeria since actuarial, valuation and auditing standards used in preparing these statements, are issued and regulated
by the Financial Reporting Council. The Council is also expected to promote
high quality corporate governance standards and reports that will foster investment in the country.
5.5.5 The decision of the Nigerian Government to implement wide-ranging reforms
and openness in payments and receipts in line with the global multi stakeholders Nigerian Extractive Industry Transparency Initiative (EITI) led to the
establishment of Nigerian Extractive Industry Transparency Initiative (NEITI)
with the passage of the NEITI Act in May, 2007. This paved the way for the enthronement of a more open, transparent extractive (oil, gas and mining) industry with the aim of holding government accountable for public revenue.
The Nigerian version was designed to insulate the implementation of EITI Ni82