Moghalu criticizes lack of corporate governance in Nigeria’s public corporations
On Friday, December 13, 2024, Professor Kingsley Moghalu, a former presidential candidate for the Young Peoples Party (YPP), expressed concern over the absence of corporate governance in Nigeria’s public corporations.
Speaking at the Annual Directors’ Dinner and Awards organized by the Chartered Institute of Directors Nigeria (CiOD), Moghalu argued that many public corporations have become “bottomless pits” used for the personal gain of political allies, rather than being run efficiently for the public good.
Reflecting on his time as Deputy Governor of the Central Bank of Nigeria (CBN), Moghalu emphasized the importance of strong corporate governance. He recalled how, under Governor Lamido Sanusi, the CBN operated like a private company with high governance standards, which he believes contributed to the bank’s success during his tenure from 2009 to 2014.
Moghalu remarked, “When I was at the Central Bank, we ran it like it was a private company. We ran it with very high standards of corporate governance. And that’s one of the reasons we were so successful in our five-year tenure from 2009 to 2014.”
He also criticized the current state of Nigeria’s public sector, stating that most public corporations lack these principles of governance and have been hijacked by political interests.
“The private sector has made strides over the last decade in establishing corporate governance,” Moghalu noted. “But the same cannot be said for public corporations. Without strong governance in the public sector, the private sector cannot reach its full potential.”
Moghalu concluded that Nigeria’s governance system needs reform, as mismanagement in the public sector is holding back the growth of the private sector.
