Corporate Governance and Rebuilding of Trust in Nigeria’s Public Sector By Aliyu Umar Aliyu
In every thriving society, the public service is the backbone of governance—responsible for delivering essential services, maintaining order, and propelling national development.
In Nigeria, the Federal Parastatals, Agencies, and Commissions (PACs) serve as strategic instruments for translating government vision into real impact for citizens.
Far from being passive bureaucracies, these institutions shape economic inclusion, social progress, and service delivery.
Parastatals are government-owned entities established by law to execute specific mandates. They enjoy a degree of autonomy—often governed by boards or councils—which allows for more flexible operations than mainstream civil service structures.
Some are extensions of supervising ministries, while others operate directly under the Presidency, executing specialised national functions.
What makes PACs even more significant is their visibility. For most Nigerians, the experience of governance is filtered through these institutions—whether registering a business, seeking electricity regulation, or accessing public healthcare.
To truly serve their purpose, PACs must be anchored in more than policy—they must be built on sound principles of corporate governance: accountability, transparency, and integrity.
Corporate governance is the system through which organisations are directed, controlled, and held accountable. In public institutions, it defines how power is exercised, how decisions are made, and how public trust is earned.
It is not about bureaucracy for its own sake; it is about creating a leadership culture where competence, responsibility, and ethical behavior are embedded in the DNA of public service.
Yet, despite its critical role, governance structures in many PACs remain weak. The Bureau of Public Service Reforms (BPSR) has highlighted persistent governance challenges, including:
- Board appointments based on political loyalty rather than merit;
- Dysfunctional relationships between boards and CEOs, resulting in administrative paralysis;
- Non-compliance with financial and operational guidelines;
- Power struggles caused by blurred leadership roles;
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- Board instability due to political transitions, despite legal tenure protections;
- Limited capacity-building for board members, leading to poor oversight.
These lapses do not merely slow down operations—they foster inefficiency, waste, and in extreme cases, corruption. Most damaging of all, they deepen public disillusionment with government.
Recognising this governance gap, the BPSR has developed the Corporate Governance Manual—a comprehensive blueprint for reforming PACs and standardising leadership practices.
More than a document, it is a roadmap for restoring trust, credibility, and effectiveness across Nigeria’s public institutions.
The manual aims to:
- Clarify the mandates and responsibilities of boards and management;
- Strengthen governance architecture and oversight functions;
- Encourage collaboration between boards, CEOs, and staff;
- Improve accountability, risk management, and performance;
- Institutionalise global best practices in public administration;
- Ultimately, rebuild public trust and stakeholder confidence.
With 14 robust chapters, the manual covers vital areas including governance frameworks, appointments, ethics, board structures, performance evaluations, social accountability, and risk mitigation.
Each chapter provides practical insights and clear action points for implementation.
At its core, the dysfunctions observed in many public institutions stem not from a lack of policy, but from a vacuum of responsible governance.
What is needed is a cultural shift—one that places performance and service at the heart of leadership. Governing boards and management teams must work not in silos or opposition, but in synergy.
This manual presents an opportunity to reimagine leadership in Nigeria’s public sector. It is a mirror reflecting institutional shortcomings, but more importantly, a map pointing towards transformation.
When sincerely adopted, it has the power to convert government institutions into responsive, people-centred organisations.
It is, therefore, with a deep sense of purpose that I commend this manual to public leaders, board members, reform advocates, and policymakers.
Let us embrace it not as a formality, but as a commitment—to integrity, to accountability, and above all, to national progress.
Aliyu Umar Aliyu is the head, Strategic Communications
Bureau of Public Service Reforms.
