Business Growth Tied to Good Insolvency Law
By Femi Okeowo & Bosede Adebayo
The Growth and Survival of the Nation’s business environment has been linked with the strength of its laws on insolvency and business rescue. This came from Business and Legal Experts at a roundtable in Abuja. Currently, the laws governing business insolvency in Nigeria are found in Companies and Allied Matters Act – CAMA as it is called. But experts say its provisions are not strong and wide enough to help businesses stay afloat when in trouble. The laws of insolvency provides for the liquidation of financially distressed companies. This is why the Round Table put together by the Nigerian Institute of Advanced Legal Studies is streaming out areas on Insolvency Law will help to strengthen businesses and increase the rate of survival of businesses in financial and managerial problems.
The draft bill at the end of the Round Table will be passed to the National Assembly for Consideration.