Over 50 Nigerian Firms Adopt Sustainability Reporting as FRC Warns Against Global Capital Risks
More than 50 Nigerian companies have begun implementing international sustainability reporting standards ahead of the country’s 2028 compliance deadline, as the Financial Reporting Council of Nigeria (FRC) cautions that businesses failing to embrace transparency could lose access to global investment opportunities.
The warning was delivered during the 5th Annual Nigeria Employers’ Summit organised by the Nigeria Employers’ Consultative Association (NECA) in Abuja.
Speaking on behalf of the Executive Secretary and Chief Executive Officer of the FRC, Rabiu Olowo, the Head of the Sustainability Reporting Regulations Department, Rasak Abubakar, said the global investment landscape has shifted beyond traditional financial performance.
According to him, investors, financial institutions, customers and business partners now expect organisations to demonstrate responsible governance, effective risk management and sustainable business practices before committing resources.
He noted that sustainability reporting has become a key factor in determining whether businesses can attract long-term capital, participate in international supply chains and remain competitive in global markets.
Abubakar explained that the council has introduced a phased roadmap for adopting the International Sustainability Standards Board (ISSB) framework, with mandatory reporting for Public Interest Entities scheduled to begin in 2028.
He disclosed that more than 50 organisations across sectors including banking, telecommunications, manufacturing, oil and gas, insurance, financial technology and small businesses have already commenced the transition.
To support implementation, the FRC has conducted over 47 capacity-building programmes involving more than 4,500 participants from over 215 organisations nationwide.
The council urged companies yet to begin preparations to act quickly, warning that delaying compliance could place them at a disadvantage as sustainability reporting becomes a global business requirement.
During a panel discussion at the summit, Director of Sustainability at IHS Nigeria, Titilope Oguntuga, described sustainability reporting as an essential management tool that enables organisations to evaluate their environmental, social and governance performance while strengthening accountability to stakeholders.
She said businesses are increasingly expected to disclose not only their financial achievements but also the impact of their operations on society and the environment.
Also speaking, General Manager for Sustainability and Shared Value at MTN Nigeria, Kemi Adisa, revealed that the telecommunications company recorded savings of approximately ₦80 billion in 2025 through its energy transition programme.
According to her, integrating sustainability into business operations has enabled the company to identify operational risks early, improve resilience and make more informed investment decisions, particularly in addressing climate-related challenges.
Industry experts believe the growing adoption of sustainability reporting will enhance Nigeria’s attractiveness to international investors while helping local companies meet evolving global environmental, social and governance (ESG) expectations.
With international markets placing greater emphasis on corporate transparency and responsible business practices, organisations that embrace sustainability reporting early are expected to enjoy stronger investor confidence, improved financing opportunities and greater long-term competitiveness.
