Sign CAM Bill to catalyse MSMEs growth,  LCCI tells Buhari

Adewale Sanyaolu

The Lagos Chamber of Commerce and Industry (LCCI), has urged President Muhammadu Buhari, to expeditiously assent to the Companies and Allied Matters [CAM] Bill 2018.

The chamber according to its Director General, Mr. Muda Yusuf, said the need  to expeditiously assent to the bill was in view of its immense potential impact in catalyzing the growth and transformation of the MSMEs in the Nigerian economy. The chamber maintained that,signing the bill into law will allow the SMEs in the economy begin to reap the benefits of its provisions.

LCCI said the Presidents assent to the bill would also position the SMEs in the economy to contribute to the realization of the objectives of the Economic Recovery and Growth Plan (ERGP).

LCCI while commending the National Assembly for passing the CAM Bill, stressed that, it was delighting to note that the bill is now before the President for assent. 

‘‘The Companies and Allied Matters Act 1990 is the extant legislation governing business registration and related issues in the economy.

The Act is a twenty-nine year old legislation governing businesses in 2019.  Many of its provisions are obviously not in tune with current realities of the business environment. 

The CAM Bill 2018 is therefore a laudable move to make the legislation more contemporary and also bringing it in alignment with the Ease of Doing Business Agenda of the present administration.’’  The bill according to the chamber, will ensure the following changes, among others: makes it possible for a company promoter to establish a private company with only one shareholder.

Review of the concept of authorized share capital to be replaced with minimum share capital, thus saving the promoters the trouble of having to pay for shares not needed at a specific time.

 Others are; simplification of the processes for the registration of Private Company Limited by Guarantee. Broadening the scope for technology applications in compliance processes because CAM Bill 2018 has provisions for electronic filing; electronic share transfer and e-meetings for private companies which would make the processes smarter and cost effective.

The foremost Nigerian chamber of commerce, said the Bill when signed into law, will reduce the cost of doing business, especially for small businesses; boost the growth of SMEs; promote economic inclusion, boost job creation by small businesses,  and encourage informal sector players to relocate to the formal sector.