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The International Sustainability Standard Board (ISSB) in its drive to ensure global high quality has collaborated with the Securities and Exchange Commission (SEC) to enhance Sustainability disclosure in the Nigerian domestic economy.
Others are the trio of Financial Reporting Council Of Nigeria, NGX Regco and EY, whose posture has always been to see the domestic economy in the front burner of sustainability achievements.
The collaboration formed the two-day technical training programme, which commenced in Lagos on Tuesday, and it’s aimed at building capacity on ISSB standards, focusing on high-quality sustainability disclosure. The sessions which is leaner-focused, highlighted practical ways for preparers to understanding requirements and apply in their organization.
Speaking at the ISSB Preparer Readiness Training on the roadmap for implementing IFRS S1 and S2 standards in Lagos, the Director General of the SEC, Emomotimi Agama said that the adoption of the International Sustainability Standards Board (ISSB) disclosure framework will help reduce information risk, lower the cost of capital for issuers, and build stronger investor confidence in Nigeria’s capital markets.
He explained that alignment with the ISSB global baseline is central to improving transparency and making Nigerian companies more attractive to both domestic and international investors.
“The SEC’s priority is clear, comparable, decision-useful disclosures that enhance investors’ understanding of risk management, cash flow resilience, and transition strategies,” he said.
Agama who was represented by the Commission’s Head, Lagos Zonal Office, John Briggs stated that as a member of the International Organization of Securities Commissions (IOSCO), the SEC is actively participating in the ISSB Standards Adoption Readiness Work Group (ARWG), which designed Nigeria’s roadmap for phased implementation. According to the Commission, early adopters began reporting voluntarily in 2024, with full mandatory adoption to be staged between 2027 and 2030. The timeline will see significant Public Interest Entities (PIEs) adopt by 2027, followed by other PIEs in 2028, and small and medium enterprises by 2030.
Agama said the Commission would adopt a progressive approach. “The SEC will begin with review-based supervision and ‘comply or explain’ expectations, moving progressively towards full enforcement as preparer and assurance capacity deepens,” he noted.
In his opening remark, the Executive Secretary/CEO, Financial Reporting Council (FRC) of NigeriaDr. Rabiu Olowo noted that the ISSB standard represents a crucial step towards achieving global consistency and comprehensive reporting.
He noted that as stakeholders embarked on preparing ISSB training, it recognized the commitment of entities with the knowledge that are necessary to navigate the adoption of ISSB standards in line with the adoption roadmap that was laid out last year.
He reiterated that Nigeria in 2022 had taken a bold step to announce of adoption of ISSB standards
Olowo said, “The adoption of the ISSD standard is driven by multiple issues. It is out of transparency, consistency, reliability, sustainable finance information that is critical for informed decision making. Investors, regulators, development partners and the general public are increasingly demanding disclosures that go beyond financial performance that capture climate related opportunities and other sustainability that form long term financial issues of an organization.”
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