In response to mounting pressure from business groups, President Bola Tinubu has ordered a temporary halt to the implementation of the Financial Reporting Council (Amendment) Act 2023, which introduced new annual fees for large private companies designated as Public Interest Entities (PIEs).
The Act required these private PIEs to pay regulatory dues between 0.02% and 0.05% of their annual turnover without any ceiling, a policy that many stakeholders argued was unfair and financially risky. Publicly listed companies, by contrast, paid a flat annual fee of N25 million.
The Federal Ministry of Industry, Trade and Investment, through Minister Jumoke Oduwole, disclosed that the disparity in dues raised concerns about equity and business sustainability. The Minister convened a stakeholder meeting on March 26, 2025, involving representatives from major industry bodies such as the Oil Producers Trade Section and the Nigeria Employers’ Consultative Association.
The meeting revealed widespread opposition to the dues, especially given the challenging economic environment. As a result, the Ministry agreed to a temporary enforcement pause not exceeding 60 days and formed a Technical Working Group to assess the policy’s broader economic impact.
The group met six times over three weeks and submitted a report on April 17, 2025. After reviewing the findings, President Tinubu formally approved the suspension of the dues.
Minister Oduwole said the pause was intended to create regulatory stability and reaffirm the administration’s commitment to transparency, investor confidence, and fairness. She added that the Ministry of Justice would evaluate whether legislative changes are necessary.
The Minister stated, “To provide immediate clarity, the Honourable Minister has directed the Financial Reporting Council to apply an interim cap on annual dues payable by private sector PIEs at N25 million, aligned with the cap already in place for publicly listed entities under the legislation.”
This decision is seen as a victory for the private sector, which had warned that the new levies could deter investment and worsen economic fragility. Since December 2024, stakeholders have criticized the reclassification of large private companies as PIEs without adequate consultation.
Oduwole reiterated the government’s commitment to its 8-Point Agenda, particularly economic diversification, job creation, and investment attraction. The Financial Reporting Council will continue to enforce the interim cap pending further instructions from the Ministry of Justice and the National Assembly.