From Sola Ojo, Abuja
The Federal Ministry of Industry, Trade and Investment has announced a major policy intervention aimed at easing concerns surrounding the Financial Reporting Council (Amendment) Act 2023, particularly the contentious provisions on annual dues for Public Interest Entities (PIEs).
PIEs are organisations that have a significant public relevance due to the nature of their business, their size, or the number of stakeholders affected by their operations such as banks, insurance companies among others.
The Minister in charge, Dr. Jumoke Oduwole in a statement The Federal Ministry of Industry, Trade and Investment has announced a major policy intervention aimed at easing concerns surrounding the Financial Reporting Council (Amendment) Act 2023, particularly the contentious provisions on annual dues for Public Interest Entities (PIEs). revealed that a temporary administrative pause on the implementation of the new dues regime would remain in place in the medium to long term, pending a broader legislative review.
The decision came after sustained pressure and feedback from key industry stakeholders, including the Oil Producers Trade Section (OPTS), the Association of Licensed Telecommunications Operators of Nigeria (ALTON), and the Nigeria Employers’ Consultative Association (NECA).
These groups had raised alarm over the reclassification of large private companies as PIEs, subjecting them to annual dues of between 0.02% and 0.05% of their turnover, without a defined ceiling.
In contrast, publicly quoted companies are required to pay a flat annual levy of N25 million, leading to concerns over regulatory imbalance and the risk of investor disincentives.
The Ministry’s intervention followed a formal public stakeholder consultation held on March 26, 2025, as part of the Federal Government’s commitment to a pro-business policy posture under President Bola Ahmed Tinubu’s 8-Point Agenda.
A Technical Working Group was subsequently set up to carry out in-depth consultations and analysis.
The group, which included representatives from NECA, MAN, ALTON, NACCIMA, PFPTRC, CAC, SEC, and the FRC itself, met six times over a three-week period.
Its report, submitted on April 17, 2025, highlighted the economic and regulatory implications of Section 33D of the amended Act.
Based on the findings, the Ministry has now directed the Financial Reporting Council to impose an interim cap of N25 million on annual dues payable by private sector PIEs, aligning them with the existing cap for publicly listed companies.
“This directive ensures regulatory equity and provides stability for affected companies, while reinforcing our commitment to transparency and investor confidence”, Dr. Oduwole stated.
She added that the Ministry of Justice has been engaged to explore potential legislative amendments, should they be deemed necessary.