By Benson Daniel
Nigeria’s ability to attract investment and sustain economic growth depends heavily on whether investors and businesses can trust the financial information placed before them, Vice President Kashim Shettima has said.
Shettima made the point while stressing the importance of reliable and transparent financial reporting to the stability of the Nigerian economy, arguing that strong institutions and credible corporate disclosures are just as important as the country’s natural resources and investment opportunities.
The Vice President, who spoke through his Chief Special Adviser on Economic Matters, Dr Tope Fasua, made the remarks in Lagos during the commissioning of the new permanent headquarters of the Financial Reporting Council of Nigeria.
For Shettima, financial reporting goes beyond the preparation of balance sheets and other accounting figures. He said the quality of information released by companies has a direct bearing on how investors assess risks, deploy capital and make long term decisions.
He noted that Nigeria could have abundant oil, gas, land, skilled people and capital, but without institutional trust, those advantages would not automatically translate into sustainable prosperity.
“Money does not merely follow opportunities; it follows confidence, and confidence follows institutions,” the Vice President said.
He added that a credible financial reporting system could help reduce information gaps, improve investment decisions, strengthen corporate accountability and ensure that capital is directed towards productive areas of the economy.
The emphasis on trust comes at a time when Nigeria is seeking to deepen investment and strengthen confidence in its financial markets as economic reforms reshape the business environment.
For companies seeking funding, reliable accounts are particularly important because investors need accurate information to determine the health and prospects of a business before committing money.
Shettima said the Federal Government remained committed to building institutions capable of providing regulatory certainty beyond individual administrations and political cycles.
The Financial Reporting Council of Nigeria has a central role in that effort. The council regulates financial reporting, auditing, corporate governance, valuation and actuarial standards for public interest entities.
Its regulatory responsibilities have also expanded in recent years following amendments to its governing law, including stronger enforcement powers and the development of a national repository for financial statements.
The council is also working on the adoption of new sustainability reporting standards, including IFRS S1 and IFRS S2, which are designed to improve the quality of information companies provide on sustainability related risks and opportunities.
At the event, the Minister of Industry, Trade and Investment, Dr Jumoke Oduwole, also stressed the importance of regulatory predictability to investors.
She said investors could assess commercial risks and price them accordingly, but uncertainty around regulation was far more difficult to accommodate when making long term investment decisions.
The Executive Secretary and Chief Executive Officer of the council, Dr Rabiu Olowo, described the commissioning of the headquarters as an important moment in the institution’s history, coming after decades without a permanent home.
The new facility, he said, represents more than a physical structure. It provides the council with a permanent institutional base from which it can strengthen its regulatory responsibilities and promote higher standards in financial reporting and corporate governance.
As Nigeria continues to pursue stronger economic growth and greater private sector investment, the credibility of the figures produced by companies will remain an important part of the equation.
For investors, the message is straightforward: opportunities may attract attention, but confidence in the numbers is what helps turn interest into actual capital.
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