At the 30th Nigerian Economic Summit held in Abuja, stakeholders from both the public and private sectors convened to evaluate current frameworks governing public-private transitions and to discuss strategies for enhancing awareness, trust, and confidence in the existing regulatory architecture.
The discussions focused on building upon these strong foundations to further improve enforcement and implementation, aiming to reinforce Nigeria’s leadership role in this area.
Opening the session, Professor Fabian Ajogwu (SAN) from Lagos Business School stated, “Nigeria’s approach to regulating public-private transitions is characterized by a mix of sector-specific guidelines, industry codes, and overarching governance frameworks, such as the Nigeria Code of Corporate Governance.” He noted that these regulations impose cooling-off periods for individuals moving from regulatory roles to positions in the private sector, mandating a three-year waiting period before they can take on roles as directors or senior managers in organizations they previously regulated.
Stakeholders acknowledged that Nigeria’s three-year cooling-off requirement exceeds global best practices, where European standards typically average two years or less. Participants, including CEOs, Board Chairmen, and Company Secretaries, stressed the necessity for flexibility, arguing against a universal three-year application for all transitions—especially in cases where the public sector role did not directly oversee the private sector company or its sector.
Dr. Emomotimi Agama, the Director-General of the Securities and Exchange Commission (SEC), served as the lead discussant, emphasizing that “Public-private transitions are not merely desirable; they are essential for promoting collaboration and innovation. The exchange of knowledge and expertise between these sectors can significantly enhance their respective capabilities, contributing to a dynamic and resilient economy.”
Agama added, “At the SEC, we are dedicated to fostering an environment where these transitions yield benefits for both sectors while maintaining market trust and confidence. Transitions are not just career moves; they are bridges connecting two vital sectors of the economy. When conducted transparently, they can enrich public governance and invigorate private enterprise, driving innovation, efficiency, and institutional trust.”
Ajogwu further highlighted a prevailing lack of awareness regarding the regulatory guidance surrounding public-private transitions, which he argued undermines regulatory effectiveness, fosters misconceptions, and erodes trust in market integrity. He stated, “A critical assessment of the dynamics of these transitions is necessary, particularly in distinguishing between actual and perceived implications.”
Stakeholders reached a consensus on the importance of enhancing public awareness and understanding of the existing regulatory frameworks. They also agreed on the need to continuously evaluate mechanisms to improve enforcement and implementation to build and sustain trust.
