CAC
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The Corporate Affairs Commission (CAC) has delisted over 400,000 inactive companies from its official register in 2025, as part of efforts to strengthen transparency, improve investor confidence, and clean up the country’s business ecosystem. According to CAC Registrar-General, Hussaini Magaji, these companies were largely shell companies that failed to file annual returns and were no longer operational, posing risks to economic integrity and investor trust.
The delisting is a significant step towards promoting accountability and enhancing corporate governance in Nigeria. By removing inactive companies, the CAC aims to reduce the risk of financial crimes and improve the overall business environment. This move is expected to boost investor confidence and encourage more businesses to formalize their operations.
The CAC has been working to improve its services and make it easier for businesses to operate in Nigeria. The commission has introduced online registration services, making it possible for companies to register from anywhere in the country. This has contributed to the registration of over 1.6 million active companies, with 440,000 registered in 2024 alone.
The delisting of inactive companies is also expected to have a positive impact on the economy. By removing ghost companies, the CAC can focus on supporting legitimate businesses and promoting economic growth. This move is in line with the government’s efforts to improve the ease of doing business in Nigeria.
In addition to delisting inactive companies, the CAC has also operationalized a beneficial ownership register. This register allows the public to identify the ultimate owners of companies operating in Nigeria, promoting transparency and accountability.
The CAC has also partnered with the Small and Medium Enterprises Development Agency of Nigeria (SMEDAN) to facilitate free business registrations for 250,000 entrepreneurs. This initiative aims to reduce costs and encourage small enterprises to formalize their operations.
The commission’s efforts are expected to have a positive impact on the business environment in Nigeria. By promoting transparency, accountability, and good governance, the CAC is supporting the growth of legitimate businesses and contributing to the country’s economic development.
