CORPORATE GOVERNANCE PRACTICE IN NIGERIA (CHALLENGES AND REFORMS).

ANI, CHIDUBEM FAVOUR (2026) CORPORATE GOVERNANCE PRACTICE IN NIGERIA (CHALLENGES AND REFORMS). Other thesis, Godfrey Okoye University, Enugu.

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Abstract

This study assesses the use, effectiveness, and impact of the Nigerian National Code of Corporate Governance 2018 (NCCG 2018) on the performance of companies in Nigeria. Although the new code represents a significant improvement in corporate governance regulation in Nigeria, particularly in respect of its principle-based “apply or explain” approach, its coverage of previously regulated sectors and industries and its relationship with the Companies and Allied Matters Act (CAMA) 2020, governance gaps persist in Nigeria. Relying on doctrinal methodology, the essay examines the history of corporate governance regulation in Nigeria; theoretical underpinnings of corporate governance, particularly agency and stakeholder theories; the legal and institutional frameworks for corporate governance regulation in Nigeria with particular reference to the role of the Financial Reporting Council of Nigeria (FRCN); challenges of enforcement; and the experiences of the United Kingdom, United States of America, and South Africa with respect to the subject matter. The long essay finds that although the NCCG 2018 has contributed to the heightened awareness of the roles of the board, risk management, ethical leadership, transparency, and sustainability, the code’s voluntary nature, lack of effective enforcement, existence of multiple regulators and codes, weak FRCN, corruption, cultural constraints in family-owned businesses and superficial “apply or explain” reports have hindered its effectiveness and by extension, the performance of companies in Nigeria as measured by return on assets (ROA), return on equity (ROE), and investors’ confidence. The study recommends that the NCCG 2018 should be supported by a few enabling provisions in the CAMA 2020; a unified corporate governance regulatory body should be established under the FRCN to oversee the implementation of the code; environmental, social, and governance (ESG) and sustainability reports should be mandatory; the CAMA 2020 should contain better whistleblower protection provisions; the composition of the board of a public company should reflect diversity; provisions on digital and cyber risks should be included in the Code; and effective, faster and cost-efficient remedies should be made available to shareholders. Overall, the study argues that these reforms will address governance gaps and enforcement problems; reduce agency costs; encourage ethical behavior; and ultimately improve the performance of companies, attract foreign investment, and facilitate sustainable development in Nigeria.

Item Type:	Thesis (Other)
Subjects:	K Law > K Law (General)
Divisions:	Faculty of Law, Arts and Social Sciences > School of Law
Depositing User:	COMFORT AJALA
Date Deposited:	24 Jul 2026 14:36
Last Modified:	24 Jul 2026 14:36
URI:	http://eprints.gouni.edu.ng/id/eprint/6008

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