Corporate governance, key to economic revival – NBA boss

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The President, Nigerian Bar Association, Abubakar Mahmoud, has said corporate governance is capable of boosting the country’s economy if its practices are fully embraced.

He said this in a keynote address at the 40th Annual Conference of the Institute of Chartered Secretaries and Administrators of Nigeria under the theme: ‘Corporate governance as a spring board for socio-economic renaissance’, in Lagos.

Mahmoud stated that companies that adhered to the code of corporate governance were more attractive to investors.

This, according to him, is because it guarantees returns on investment for investors.

Mahmoud, whose paper was delivered by the Secretary-General of the NBA, Mr. Isiaka Olagunju, said, “Corporate governance practices will be a catalyst for socio-economic revival in Nigeria if fully adopted, because it is a practice that gives investors assurance that they will get a return on their investment.

“When companies in Nigeria fully embrace corporate governance practices, they become attractive to investors. It is a well-known fact that investors will not hesitate to take their money around the globe in search of companies with credible and recognisable corporate governance arrangements.”

He commended the institute for the conference’s theme, noting that it was apt considering the declining national economy, adding, “The institute is fast gaining a reputation as the most professional body dedicated to enhancing corporate governance practice and public administration in Nigeria, and this is quite commendable”.

The President, ICSAN, Dr. Nat Ofo, stated that the $29.9bn foreign loan being sought by the Federal Government might not make the desired impact on Nigerians if corruption was not tackled.

According to Ofo, previous administrations borrowed in the past without significant outcome.

He said, “What is the possibility that this one will not go the way of others when they have not tackled corruption seriously? I am not keen about the foreign loan the Federal Government is seeking.

“I am not enthusiastic because corruption has not been dealt with. Unless something special is done, the foreign loan they are seeking, even after getting it, may leak away.”

(source: punch ng)