By Ken Asinobi
A Professor of Accounting and Finance at the Rivers State University (RSU), Oroworukwo, Port Harcourt, Professor Thankgod Chikordi Agwor, has criticized Nigeria’s continued use of cash-based accounting in the public sector, describing it as a major cause of poor transparency and weak governance.
Delivering the university’s 126th inaugural lecture at the Nyesom Ezenwo Wike Senate Building on Wednesday with the topic: “Failure of Governance and Governance of Failure in Nigeria: Unveiling Accounting-Finance Nexus”, Professor Agwor said Nigeria’s governance problems cannot be solved without fixing its accounting and finance systems.
He argued that the cash-based accounting system used by government only records money when it is received or paid.
According to him, this method hides the full financial picture of government activities and makes it easier for resources to be mismanaged.
Professor Agwor said accounting is not just about numbers. He explained that budgets, financial reports and audit statements shape decisions and influence how public funds are used.
When financial information is weak or distorted, he warned, policies will also fail.
He also expressed concern that many audit reports are not properly enforced.
The vasity don told the packed audience which included Deans of faculties, Heads of departments and other principal officers that Accountability without sanctions is ritual, stressing that audits mean little if no one is punished for wrongdoing.
The professor further explained that governance failure in Nigeria is not only about bad leadership but also about weak financial systems.
He introduced the idea of “governance of failure,” where institutions are structured in ways that allow problems to continue while the public bears the cost.
Drawing lessons from the banking sector, he noted that some banks once declared financially healthy later collapsed. He questioned the independence of auditors and called for stronger regulation and better risk management.
Professor Agwor also advocated for wider accountability through Environmental, Social and Governance (ESG) reporting, saying governance should go beyond profit to include social and environmental responsibility.
He called for stronger audit enforcement, improved board competence, transparent oversight and major reforms in Nigeria’s accounting systems.
Concluding his lecture with biblical references, he emphasized that governance is about stewardship, justice and responsibility.
Professor Agwor urged policymakers to move accounting and finance from the background to the center of reform efforts, insisting that meaningful national renewal must begin with transparent and reliable financial systems.
Earlier in his welcome address, the Acting Vice Chancellor of the University, Professor Isaac Zeb-Obipi, said the 126th Inaugural Lecture would examine the persistent failure of governance to meet citizens’ needs.
He noted that while many explanations have been offered, they often overlook a critical link between accounting and governance.
According to him, understanding this nexus may reveal why governance structures fail and how they can be improved.
As a university committed to uncovering hidden truths, RSU convened the lecture to explore this connection and provide insight into the future of governance.
The inaugural lecturer was later presented with a plaque of honour and a certificate of recognition by the Vice Chancellor.
