Nigeria’s audit and assurance environment changed materially in 2026. With effect from 1 April 2026, the Financial Reporting Council of Nigeria made its National Audit and Assurance Firms Register fully operational and stated that only firms appearing on the relevant register are legally permitted to undertake audit or assurance engagements in Nigeria.
Appointment now requires a register check
A familiar firm name, professional-body membership or prior engagement history is no longer enough for a client’s appointment process. Reporting entities should verify the registration status of the firm and, where applicable, the signing professional before appointment and throughout the engagement.
The rule covers more than statutory audit
FRC’s registration framework distinguishes audit firms and other assurance service providers. The practical implication is that organisations should first identify the nature of the proposed engagement and then verify that the selected provider is authorised for that category of work.
Independence and competence still matter
Registration is a minimum regulatory check, not a substitute for engagement quality. Management and those charged with governance should also consider independence, experience, industry knowledge, staffing, timing, fee structure and whether the proposed scope is clear enough to support the required opinion or report.
Keep evidence of the appointment process
Boards, audit committees and management should retain evidence of the register verification, proposal evaluation, engagement letter, independence confirmations and approvals supporting the appointment. This creates a defensible record if the engagement is later reviewed by regulators, investors or other stakeholders.
Be careful with advisory firms offering “audit” services
An advisory or accounting firm can help a client prepare for audit by cleaning records, reconciling balances, assembling evidence and improving controls. That is different from issuing a statutory audit opinion or another reserved assurance report. Clients should ask who the responsible registered firm and signing professional will be whenever a regulated opinion is required.
Practical questions before appointment
- Does the firm appear on the current FRC register for the relevant service category?
- Does the signing professional meet the applicable registration and professional requirements?
- Has independence been assessed and documented?
- Is the engagement clearly described as audit, other assurance, agreed-upon procedures, internal audit support or advisory work?
- Does the engagement letter identify responsibility, reporting framework, deliverables and timing?
Source trail
Primary reference: Financial Reporting Council of Nigeria public notice launching the National Audit and Assurance Firms Register, effective 1 April 2026, together with the FRC Audit Regulations and current national registers.
Publication note: This article provides general information. Entities should check the current FRC register and the professional requirements applicable to the exact engagement before appointment.