FRC Sensitises Borno SMEs on Financial Reporting, Access to Capital

The Financial Reporting Council of Nigeria (FRC) has urged small and medium-sized enterprises (SMEs) and cooperatives in Borno State to embrace transparent and credible financial reporting as a strategic tool for business growth rather than viewing it merely as a statutory or tax obligation.

The Council made the call on Thursday, September 17, 2026, in Maiduguri during its SME Financial Reporting Compliance Sensitization Campaign, which brought together the Borno State Commissioner for Trade, Investment and Tourism, business leaders, entrepreneurs, representatives of SMEs and cooperatives, and other stakeholders.

The Executive Secretary/Chief Executive Officer of the FRC, Dr. Rabiu Olowo, was represented at the sensitisation programme by the Director, Directorate of Accounting Standards, FRC, Mr. Kabiru Musa Jemaku.

Olowo, in his message to participants, noted that a significant number of enterprise owners continued to perceive financial reporting largely as a regulatory requirement or an obligation associated with taxation, rather than as an instrument capable of strengthening their businesses.

He stressed that accurate and transparent financial records could play a critical role in helping businesses understand their financial position, make informed decisions, attract investment and secure access to finance.

According to him, credible financial reporting should not be perceived as a constraint on small businesses, but as an important foundation for expansion and long-term sustainability.

“Many enterprise leaders view financial reporting purely as a statutory obligation or tax requirement rather than a strategic business tool,” Olowo said.

He added that “transparent financial records are not meant to restrict small businesses; they are designed to unlock growth opportunities.”

The campaign therefore focused on improving awareness among SMEs and cooperatives on the relevance of financial reporting, particularly in enhancing their credibility before financial institutions, investors and other potential sources of capital.

The FRC also highlighted the role of reliable financial information in strengthening internal business decisions, improving accountability and positioning enterprises for sustainable growth.

The Council reiterated its commitment to supporting SMEs through capacity-building initiatives, simplified reporting frameworks and practical guidance aimed at making compliance more accessible to smaller businesses.

It said the sensitisation campaign formed part of its broader efforts to deepen understanding of financial reporting requirements and encourage businesses to see compliance not simply as a regulatory burden, but as a catalyst for improved performance, investment and sustainable development.

The Maiduguri engagement provided an opportunity for business operators and other stakeholders to interact with the FRC on the practical challenges associated with financial reporting and compliance, while gaining greater understanding of how proper financial records can support the growth and formalisation of their enterprises.