In a compelling address at the 2023 Annual Directors’ Conference of the Chartered Institute of Directors Nigeria (CIoD), Olusegun Aganga, Chairman of Leadway Pension PFA Limited, underscored the critical importance of corporate governance as a driving force behind Nigeria’s economic transformation. The conference, themed “Driving Nigeria’s Economic Transformation and Diversification: The Role of Corporate Governance,” was held in Abuja on Thursday.
Aganga asserted that despite numerous government initiatives aimed at economic diversification and transformation, corporate governance has been overlooked as a key catalyst for achieving these objectives. He stressed the urgency of addressing this oversight, stating, “And there is no better time than now to draw the attention of the nation and managers of the economy to this significant omission.”
Highlighting the shortcomings of Nigeria’s current economic state, Aganga characterized it as “relatively small, not inclusive, and growing at a slower pace.” He attributed these challenges to a combination of factors, including import dependency, a weak macroeconomic environment, a reliance on primary product exports, and a high debt servicing burden.
Aganga further emphasized the disconnect between economic plans and their implementation, stating, “We are long on plans and policies but short on implementation.” He attributed this implementation gap to weak economic institutions, asserting, “It is because our institutions, particularly the economic institutions, are weak or do not exist.”
In a parallel address, Tijjani Borodo, President and Chairman of the Governing Council of CIoD Nigeria, reiterated the organization’s commitment to fostering connections among business leaders and collaborating with the government to promote business-friendly policies. He also acknowledged the transformative impact of the digital landscape on Nigeria’s economic future, stating, “The digital age is upon us, and Nigeria is no exception to the profound changes it brings.” Recognizing the need for adaptation, Borodo emphasized the importance of aligning corporate governance practices with the realities of the digital era.
The 2023 Annual Directors’ Conference served as a platform for highlighting the crucial role of corporate governance in driving Nigeria’s economic transformation and diversification. Aganga’s call for greater attention to this area underscores the need for a holistic approach to economic development, one that prioritizes strong corporate governance practices as a cornerstone of sustainable growth.
