– Dr Jumoke Oduwole, Minister, Federal Ministry of Industry, Trade and Investment said the Ministry is addressing Stakeholder Concerns On Financial Reporting Council (Amendment) Act 2023.

In a statement on Sunday signed by Oduwole, she explained that in March 2025, the Federal Ministry of Industry,Trade and Investment convened a high-level stakeholder engagement in response to the Financial Reporting Council (FRC) (Amendment) Act 2023.

She said this initiative was prompted by growing concerns regarding the provisions and implementation of annual dues for Public Interest Entities (PIEs).

“As early as December 2024, leading stakeholders—including the Oil Producers Trade Section (OPTS), the Association of Licensed Telecommunications Operators of Nigeria (ALTON), and the Nigeria Employers’ Consultative Association (NECA)—had expressed reservations through direct consultations and public advocacy.

“A key issue raised was the reclassification of large private companies as PIEs, which imposed a disproportionate financial burden.

“Under the amended Act, such companies are required to remit annual dues ranging from 0.02% to 0.05% of turnover, with no upper limit—compared to a fixed ₦25 million levy for publicly quoted companies, regardless of their size or market capitalization.

“While the Financial Reporting Council of Nigeria (FRCN) continues to play a central role in setting and enforcing accounting and financial reporting standards, stakeholders noted that these provisions could lead to unintended unsustainable increased compliance costs, and ultimately negatively affect investor confidence.

“The Administration of President Bola Ahmed Tinubu, remains firmly committed to adopting a listening posture and pro-business approach, as articulated in its policy thrust in implementing the 8-Point Agenda.

“In response, on March 26, 2025, the Ministry held a formal public stakeholder consultation to assess the policy implications and ensure alignment with principles of fairness, transparency, and economic competitiveness.

“The consultation resulted in two key actions: a temporary administrative pause on implementation; and the establishment of a Technical Working Group to provide deeper analysis.

“In line with this commitment, the Technical Working Group coordinated by the Ministry, comprising NECA, MAN, ALTON, NACCIMA, PFPTRC, CAC, and SEC, along with a robust team from the FRCN, met six times over a three-week period for stakeholder consultations.

These engagements culminated in a report assessing the implications of Section 33D of the FRC (Amendment) Act 2023 submitted to the Honourable Minister on April 17, 2025.”

The Minister said she had provided a detailed briefing to Mr. President on the critical concerns raised by organized private sector stakeholders prior to the implementation of the administrative pause and made recommendations based on the submitted report and affirms that the administrative pause will be maintained in the mid- to long-term, pending a broader legislative review.

“To provide immediate clarity, the Honorable Minister has directed the Financial Reporting Council (FRC) to apply an interim cap on annual dues payable by private sector PIEs at ₦25 million, aligned with the cap already in place for publicly listed entities under the legislation.

“This directive creates a stable environment for compliance for affected companies in the short term and reflects the Ministry’s commitment to prioritizing transparency, investor confidence, and regulatory equity while allowing the Ministry of Justice to appropriately determine the longer-term path for seeking legislative amendments on behalf of the Federal Government, if required,” the statement said.