The Nigeria Employers’ Consultative Association has commended President Bola Tinubu for his decisive action in capping the Financial Reporting Council levy at N25m for Public Interest Entities, including unlisted companies.
Speaking in Lagos on Monday, the Director General of NECA, Mr Adewale-Smatt Oyerinde, described the move as a landmark moment for Nigeria’s private sector.
He added that the move would restore confidence and reduce the regulatory burden previously imposed by the open-ended levy in Section 33 of the FRC (Amendment) Act 2023.
On Sunday, The PUNCH reported President Tinubu had ordered a temporary pause in the implementation of the controversial Financial Reporting Council (Amendment) Act 2023, which imposed new annual dues on large private companies classified as Public Interest Entities.
The decision, according to the Federal Ministry of Industry, Trade and Investment, follows months of sustained pressure from the private sector and a technical review initiated by the ministry.
Stakeholders had expressed concern over the disproportionate compliance burden and financial risk the amended Act posed to non-listed companies.
Under the Act, which was passed in 2023 and stirred criticism from business groups and the private sector, PIEs were required to pay between 0.02 and 0.05 per cent of their annual turnover as regulatory dues, without any upper limit.
Meanwhile, speaking further, Oyerinde also applauded the Minister of Industry, Trade, and Investment, Dr. Jumoke Oduwole, for her inclusive leadership in facilitating a multi-stakeholder technical working group that included NECA and other key private sector players.
He noted that the adoption of the group’s proposals, calling for a moratorium, a levy cap, and legislative amendment, reflects responsive and evidence-based governance.
NECA emphasised that the policy alignment, “between listed and unlisted companies, enhances equity, supports job creation, and frees up capital for enterprise growth. The association also recognized the strategic timing of this reform alongside the recent signing of four transformative tax laws aimed at streamlining Nigeria’s fiscal architecture and boosting Micro Small Medium Enterprises competitiveness.”
The NECA DG urged the Federal Government to promptly transmit a clean amendment bill to the National Assembly to formally embed “the N25m cap in law and ensure full legal clarity before the 2026 fiscal year. Regulatory certainty is the lifeblood of investment. The President’s decision sends a strong message that Nigeria listens, adapts, and is open for sustainable business.”
