Osinbajo signs into law two business friendly bills
According to recent reports, Vice President Yemi Osinbajo has signed into law two business-friendly bills aimed at promoting economic growth and development in Nigeria.
The two bills are:
- The Companies and Allied Matters Act (CAMA) 2020: This bill aims to simplify the process of registering and running businesses in Nigeria. It introduces a new corporate governance framework, streamlines the process of mergers and acquisitions, and provides for the electronic filing of documents with the Corporate Affairs Commission (CAC).
- The Finance Act 2020: This bill aims to promote economic growth by providing tax incentives and relief measures to businesses. It reduces the corporate income tax rate from 30% to 20%, and introduces a new tax regime for small and medium-sized enterprises (SMEs).
The signing of these bills into law is expected to have a positive impact on the Nigerian economy, particularly for small and medium-sized enterprises (SMEs) which are critical to job creation and economic growth.
Some of the key benefits of these bills include:
- Simplified business registration process: The CAMA bill aims to reduce the time and cost of registering a business in Nigeria, making it easier for entrepreneurs to start and grow their businesses.
- Increased access to finance: The Finance Act 2020 provides tax incentives and relief measures to businesses, which is expected to increase access to finance and reduce the cost of borrowing.
- Job creation: The reduction in corporate income tax rate and the introduction of a new tax regime for SMEs is expected to encourage businesses to hire more staff and create jobs.
- Improved corporate governance: The CAMA bill introduces a new corporate governance framework, which is expected to improve transparency and accountability in the corporate sector.
Overall, the signing of these bills into law is a positive step towards promoting economic growth and development in Nigeria, and is expected to have a positive impact on the business environment and the overall economy.