House amends law to enforce corporate social responsibility

The Financial Reporting Council of Nigeria bill has passed for second reading by the House of Representatives.
The amendment is to prescribe social corporate responsibility requirement by companies operating in Nigeria.
Sponsor of the amendment Mr. Abubakar Amuda Kannike from Kwara State said Corporate Social responsibility has become standard global business practice that contributes to the sustainable development to any country.
“In some countries particularly in India companies are enforced to pay two percent of their profit to the host communities for development,” he said.
Mr. Kannike noted that in Nigeria, the existing act does not compel companies to provide corporate social responsibility for the interest they declare annually.
“This attitude has been lackadaisical among companies in the country and that the amendment to the act would enforce compliance to help in the country’s sustainable development projects,” the lawmaker added.

Confidence Okwuchi