CAC removed over 400,000 inactive firms in 2025 to clean the registry, improve transparency, and boost investor confidence, says Registrar-General

The Corporate Affairs Commission has deregistered more than 400,000 inactive companies from Nigeria’s corporate registry in 2025 as part of reforms to strengthen transparency, protect the economy and restore investor confidence.

Also read: CAC company delisting: six steps to protect business legally active

Registrar-General of the CAC, Hussaini Magaji, SAN, disclosed this on Saturday in Abuja during the commission’s monthly fitness walk, held as part of activities marking its 35th anniversary.

Magaji said the affected entities were largely firms that had failed to file statutory annual returns for years and were no longer operational, warning that such companies posed risks to economic integrity.

“In 2025 alone, we deregistered over 400,000 companies from our records. These were largely companies that had become inactive and failed to meet statutory obligations, including filing annual returns.

“Such entities pose threats to economic operations. Cleaning up the register was necessary to build confidence and ensure that Nigeria has a credible and reliable corporate registry,” he said.

He explained that maintaining a transparent and up-to-date register is critical for attracting both local and foreign investment and for preventing the misuse of corporate structures for illicit activities.

Magaji described the anniversary fitness walk as symbolic of the commission’s resilience, teamwork and institutional evolution since its establishment in 1991.

The CAC was created by the Companies and Allied Matters Act of 1990 to replace the old Company Registry and was later modernised by CAMA 2020. As an autonomous body, it oversees the incorporation and regulation of companies, business names and incorporated trustees.

“CAC is 35 years old today. We are here with our staff to showcase our strength, our unity and our resilience. This gathering represents how far we have come as an institution,” he added.

He recalled that the commission began as a largely manual agency operating from a single office in Garki, Abuja, but has since evolved into a fully digital, end-to-end service provider with global reach.

“Today, our services are available anywhere, anytime, 24/7. We are the only government agency providing end-to-end digital services,” Magaji stated.

According to him, the digital transformation of the CAC has significantly supported the Federal Government’s ease-of-doing-business reforms by eliminating the need for physical visits to CAC offices.

“You can register and manage your business from your room without stepping into any CAC office. That is what ease of doing business truly means,” he said.

As part of support for small businesses, Magaji disclosed that the commission partnered with the Small and Medium Enterprises Development Agency of Nigeria to facilitate the free registration of 250,000 MSMEs in 2025.

He said the registrations were routed through SMEDAN to ensure beneficiaries also received training and capacity-building support.

Magaji added that improved staff welfare, timely payment of entitlements and clear career progression had boosted morale and service delivery within the commission.