In response to growing concerns from the private sector, the Federal Government has announced a temporary suspension of the annual dues imposed on public interest enterprises by the Financial Reporting Council of Nigeria FRCN.
The suspension, which will last no more than 60 days, was announced by the Minister of Industry, Trade, and Investment, Dr. Jumoke Oduwole, during a Ministerial Consultative Meeting in Abuja.
Indefinite suspension of the levy
Dr. Oduwole said the decision followed strong objections from private sector stakeholders, many of whom called for an indefinite suspension of the levy. However, she clarified that the government opted for a time-bound suspension to allow for further deliberations.
“The private sector requested a suspension ranging from two to three months to an indefinite period, but we have decided on a maximum of 60 days. A technical working group, comprising the FRCN and representatives of the organized private sector, will be set up to assess the concerns and propose a viable solution,” she stated.
She also assured stakeholders that President Bola Tinubu is committed to fostering a business-friendly environment, noting that the administration prioritises policies that support private sector growth.
“The President has been briefed and has reaffirmed that we are a listening government. We recognize the role of the private sector in economic growth and will ensure that any financial policy is fair and sustainable. The final decision on the dues will still be reviewed by the National Assembly after extensive consultations,” she added.
Halt implementation of the levy
Reacting to the suspension, Dele Oye, Chairman of the Organised Private Sector, urged the government to completely halt the implementation of the levy, citing the burden of multiple taxation on businesses.
“Nigerian businesses are already grappling with multiple levies and regulatory costs. This additional financial obligation could strain enterprises further, particularly in the current economic climate,” Oye cautioned.
As deliberations continue, the suspension marks a significant step in addressing regulatory concerns while ensuring that financial reporting standards remain in line with global best practices. The final outcome will depend on the findings of the technical working group and subsequent legislative reviews.
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