The Corporate Affairs Commission (CAC) has defended its recently introduced AI-enhanced registration portal, designed to streamline company incorporation in just 30 minutes. Despite its praised speed, users have flagged issues involving the approval of inappropriate business names, prompting CAC to pledge reviews and improvements.
✅ What the Portal Offers
- Instant name reservation & approvals: Businesses can be named and approved within seconds, likened by Registrar-General Hussaini Ishaq Magaji to creating a Gmail account Launch Base AfricaPunch News+10thegazette.com.ng+10thefrontierng.com+10.
- Faster incorporation: Firms can now register using only a director’s NIN, with corporate certificates emailed within half an hour Launch Base Africa+7The Guardian Nigeria+7thefrontierng.com+7.
- AI-verified security: The portal includes photo-ID matching and two-factor authentication to address identity and security challenges thegazette.com.ngThe Guardian Nigeria.
⚠️ Rise in Offensive Name Approvals
Several users have raised concerns that the AI system has approved offensive or extremist names, such as “BokoHaram Hub” and “Nigeria Must Scatter” technologytimes.ng+2IntelRegion Media & Tech+2Launch Base Africa+2. These approvals, they argue, undermine national security and civic responsibility.
🔄 CAC’s Response & Next Steps
While defending the AI rollout as a key step toward transparency and efficiency thefrontierng.com+10technologytimes.ng+10thegazette.com.ng+10, CAC has:
- Acknowledged the name-approval issue; reviews are reportedly underway
- Requested public tips to flag inappropriate names
- Emphasised its commitment to transparency and technology-driven reform Punch NewsLaunch Base Africa+3thefrontierng.com+3legalnigeria.com+3thegazette.com.ng
🏢 Broader Implications for Business Formalisation
- SMEs stand to benefit: The portal could simplify registration for Nigeria’s ~40 million informal MSMEs thegazette.com.ng+2Techpoint Africa+2ICA (Ibe Chido & Asociates)+2.
- Systemic hurdles persist: Policy changes like higher share capital and multi-agency licensing still affect entrepreneurs post-registration Techpoint Africa.
✅ Final Takeaway
Nigeria’s CAC is embracing cutting-edge AI to eliminate business bureaucracy—but the unexpected approval of offensive names reveals the limits of automation without oversight. The portal’s convenience is clear, yet balancing speed with responsible governance remains crucial.
