SEC issues deadline for public companies to submit IFRS sustainability reporting plans

The Nigerian Securities and Exchange Commission (SEC) has set a deadline of October 15, 2026, for public companies and significant public interest capital market operators to submit plans for implementing the International Financial Reporting Standards (IFRS) Sustainability Disclosure Standards. This directive, issued on September 23, 2026, under the Investments and Securities Act (ISA) 2025, mandates the submission of implementation plans to begin on January 1, 2028.

The SEC requires each covered entity to detail their approach to adopting IFRS S1 and IFRS S2, as well as anticipated challenges. The SEC will continue to engage regulated entities and monitor compliance throughout the transition. The SEC's directive aligns with the Financial Regulatory Commission Nigeria (FRCN) roadmap, which advocates for a phased transition from voluntary to mandatory sustainability reporting.

The FRCN roadmap, launched in collaboration with the Nigerian Exchange Group (NGX Group), the FRC, and the International Sustainability Standards Board (ISSB), aims for mandatory reporting by public interest entities by 2028. NGX also introduced its own sustainability disclosure guidelines in 2019. However, readiness for sustainability reporting varies across sectors, as previously reported by Nairametrics.

The SEC's latest requirement underscores the need for individual company preparedness before the 2028 deadline. This directive applies to both listed companies and significant public interest capital market operators, including entities involved in clearing, settlement, trading, or data functions. Market infrastructure providers, such as clearinghouses and data providers, face the same submission deadline as listed issuers.

The covered entities must specify the year they expect to provide their first sustainability report, aligned with the FRCN Roadmap.