Composition of Audit Committees in Nigeria: Matters Arising
Year: 2011
Type: preprint
Abstract: Available evidence from other jurisdictions suggests that audit committees have been in use for a long time. However, it was in 1990, with the promulgation of the then Companies and Allied Matters Decree, that audit committees were statutorily instituted in Nigeria. They are mandatory for public companies. The different corporate governance codes applicable in Nigeria also have provisions concerning audit committees. In relation to the composition of audit committees, there is a marked difference between the practice in Nigeria and the rest of the world. Undoubtedly, this peculiar composition of audit committees in Nigeria has given rise to some other issues which are adversely impacting on the relevance and effectiveness of audit committees in Nigeria. This article exposes such issues. Also, some suggestions have been made to ensure that the benefits derivable from existing global best practices are available to Nigerian public companies. This will properly position audit committees in Nigeria to deliver on their onerous mandates outlined in the statute and relevant corporate governance codes.
Source: SSRN Electronic Journal
Author: Nat Ofo
Institution: Igbinedion University
Language: English
Subfield: Accounting
Domain: Social Sciences
Open Access status: green
OpenAlex ID: W87015174