Corporate leaders and financial experts have emphasized that improved corporate governance is key to unlocking capital and boosting investor confidence for Nigerian businesses. This message was at the heart of discussions during the 5th Doing Business in Nigeria Conference (DBNC) held recently in Lagos.
Speaking on the theme of business financing, Jude Chiemaka, CEO of the Nigerian Exchange Limited (NGX), highlighted that many Nigerian companies, especially SMEs, struggle to secure funding due to weak governance structures and informal business operations.
“Capital isn’t reserved for just the multinationals,” Chiemaka noted. “We’ve created an SME-focused board on the Exchange, and companies with a market cap as low as ₦50 million can now access public capital. But governance and structure are critical.”
He emphasized that beyond financial quality, companies must align with international governance standards to attract funding through the capital market.
Governance, Strategy, and Integrity: The Winning Formula
Adeniyi Adenubi, co-founder of VFD Group PLC, acknowledged the challenges of raising capital in Nigeria but maintained that clarity of vision, integrity, strategy, and market understanding are game-changers.
“Once those pieces are in place—strategy, team integrity, market clarity—capital becomes more accessible,” he said.
Adesuwa Okunbo Rhodes, founder and CEO of Aruwa Capital Management, added that strong governance is a major comfort factor for institutional investors, who prioritize businesses with clear communication, transparency, and accountability.
“Investors need to know they’re not putting their money into a blind pool. A solid track record, internal controls, and board oversight make all the difference,” she said.
Championing Female Entrepreneurs
Okunbo Rhodes also drew attention to the persistent funding gap for female-led businesses across Africa, which inspired her to create Aruwa Capital to support women entrepreneurs and inclusive business models.
“If we can change who allocates capital—more women fund managers—we’ll naturally see more funding going toward female entrepreneurs and women-centered products and supply chains,” she explained.
A Call to Action
The DBNC event, organized by Linda Uneze, managing partner at Maurice Xandra Solutions, brought together leaders from oil and gas, FMCG, fintech, and telecommunications. The consensus was clear: governance is not optional. It is the foundation upon which Nigerian businesses can build investor trust, scalability, and long-term sustainability.
