Freedom of Information and the Effect on Corporate Governance in Nigeria

With the passing into law of the Freedom of Information Act (FOIA) by President Goodluck Ebele Jonathan in the year 2011, access to accurate information has become available. Anyone in Nigeria interested in any information from any public officer, agency or institution which not only has dealings with the public but also private companies has access to such information under the FOIA. The major setback with the Introduction of the Freedom of Information Act is that because of the Novelty of the law in Nigeria, majority of Nigerians do not know the power the Act has granted them in accessing information and being well informed about agencies and corporations of interest. One of the major constraints of corporate governance is the lack of transparency, disclosure and access to information which would help shareholders and investors make more informed decision as regards the companies they have dealings with. This paper will examine the effects of proper use of the Freedom of Information Act as regards corporate governance while also giving a comparative analysis of its use in countries with more advanced systems of similar Act. Keywords: Corporate Governance, Freedom of Information, Transparency, Disclosure obligations, whistleblower and Monitoring