NGX RegCo Advocates IFRS Sustainability Standards

NGX Regulation Limited (NGX RegCo) has hosted its annual Issuers’ Engagement Forum, spotlighting the adoption of the International Financial Reporting Standards (IFRS) Sustainability Disclosure Standards.

The event, themed: ‘Adopting the IFRS Sustainability Disclosure Standards: Strategies and Expectations,’ convened industry leaders, regulators, and top executives from Nigeria’s listed companies to chart a course toward enhanced corporate transparency and sustainable business practices.

In his opening remarks, NGX RegCo’s Chief Executive Officer, Mr. Olufemi Shobanjo, emphasied the transformative potential of sustainability disclosures for Nigeria’s financial markets and corporate governance landscape.

He extended a warm welcome to distinguished guests, including Mr. Bola Ajomale, who represented Dr. Emomitimi Agama, Director General of the Securities and Exchange Commission (SEC); Mr. Stanley Aniagbaoso of the Financial Reporting Council of Nigeria (FRCN); and Dr. Innocent Okwuosa, Chairman of the Nigerian Integrated Reporting Committee (NIRC).

Mr. Shobanjo remarked:  “Today’s forum is not just about compliance with new standards; it is about transforming how businesses operate, fostering transparency, and creating long-term value for stakeholders.”

The forum celebrated early adopters of the IFRS S1 and S2 sustainability reporting standards, including Access Holdings Plc, Fidelity Bank Plc, MTN Nigeria Communications Plc, and Seplat Energy Plc. These companies successfully implemented the standards in their 2023 financial reports and shared their experiences during the event.

NGX RegCo has actively prepared issuers for the transition to these sustainability standards through initiatives such as webinars and collaborations with the International Sustainability Standards Board (ISSB) and FRCN. Earlier this year, NGX RegCo unveiled Nigeria’s roadmap for adopting IFRS S1 and S2 standards, detailing a phased approach to achieving compliance.

According to Mr. Shobanjo, adopting these standards is crucial for aligning Nigerian companies with global best practices and addressing the growing investor demand for transparency on environmental, social, and governance (ESG) practices.

He urged stakeholders to collaborate in implementing the standards by investing in appropriate technologies and fostering a culture of sustainability within their organisations. He encouraged participants to leverage insights from the forum to navigate the transition and meet compliance requirements effectively.

“By embracing sustainability disclosures, we can build resilient capital markets, attract investments, and contribute to a sustainable future for our industries and society,” Mr. Shobanjo stated.

The forum highlighted the importance of sustainability in driving long-term growth and creating value for stakeholders, positioning Nigerian companies to compete on the global stage.