Overview
In 2014, the Central Bank of Nigeria (CBN) issued the Code of Corporate Governance for Banks and Discount Houses. A second code for other financial institutions followed in 2018. Together, they set the standards for governance across the banking and financial sector.
That framework changed in 2019. The Financial Reporting Council (FRC) issued the Nigerian Code of Corporate Governance 2018 (NCCG 2018) as the single code for private and public entities in Nigeria. The NCCG 2018 replaced all sectoral codes, including the CBN's 2014 and 2018 codes.
On July 13, 2023, the CBN released new Corporate Governance Guidelines for Commercial, Merchant, Non-Interest and Payment Service Banks. The Guidelines align with the Principles and Recommendations of the NCCG 2018 and supersede all previous CBN codes, circulars and directives on corporate governance. This article analyses the key provisions of the Guidelines against the 2014 Code and discusses their legal and governance implications for the banking industry.
