The Financial Reporting Council is ready to launch a report outlining the adoption of International Financial Reporting Standards 1 and 2 in two weeks.
Dr Rabiu Olowo, the Executive Secretary and Chief Executive Officer of the council, made this announcement during a signing ceremony with the Nigeria Integrated Reporting Committee in Abuja on Friday.
IFRS is a set of accounting rules for the financial statements of public companies, aimed at ensuring consistency, transparency, and global comparability.
IFRS S1 standards aim to assist companies in disclosing sustainability risks and opportunities in their general financial reports, while IFRS S2 standards encourage the disclosure of how companies manage potential negative impacts of climate change.
He mentioned, "This aligns with the upcoming launch of the roadmap report for adopting IFRS S1 and S2 on March 22, 2024, during Mr Emmanuel Faber's visit to Nigeria as part of his African tour."
It is noteworthy that Nigeria expressed its intention to early adopt the International Sustainability Standards Board standards at CoP 27 in Egypt in 2022 and took further steps by establishing the Adoption Readiness Working Group, hosting the launch of IFRS S1 and S2 in collaboration with NGX Regulations Ltd on June 26, 2023, and releasing the Roadmap report for comments on February 1, 2024, signifying its commitment to lead in this initiative.
Olowo further stated that the agreement marks a significant move by the Financial Reporting Council to ensure effective and seamless implementation of sustainability reporting in Nigeria.
The FRC boss also stressed that the council, driven by digitization, operational excellence, stakeholder engagement, and enforcement agenda, is dedicated to fulfilling its mandate, aiming to propel FRC to new heights, unlock capital for the country, and create employment opportunities.
He said, "This event today shows the Council's commitment to advocating for effective corporate behavioral change to drive sustainability reporting in Nigeria, as mandated by the FRC Act 2011 as amended, which empowers the Council to enter into a Memorandum of Understanding to achieve its goals, with the Nigeria Integrated Reporting Committee as a valuable partner.
Dr. Innocent Okwuosa, the NIRC chairman, expressed his delight in witnessing another milestone in Nigeria’s journey towards implementing sustainability reporting.
In his address, he emphasized that this event demonstrates Nigeria’s strong commitment to adopting sustainability reporting and is a testament to the dedicated efforts of the Nigerian Integrated Committee.
He said, "This event signifies our country’s strong commitment to adopting sustainability reporting, and it’s a testament to the dedicated efforts put forth by the Nigerian Integrated Committee."
"I want to confirm our dedication to making sure the plans and work programs we have set up are achieved successfully. We will work closely with the FRC to make sure these goals are achieved," he said.
