ARTIFICIAL INTELLIGENCE FOR FINANCIAL ACCOUNTABILITY, CORPORATE GOVERNANCE, AND ECONOMIC SUSTAINABILITY: AN OVERVIEW

Abstract

This paper explores the transformative potential of artificial intelligence (AI) in enhancing financial accountability, corporate governance, and economic sustainability in Nigeria. As the global digital economy advances, AI technologies such as machine learning, natural language processing, and predictive analytics offer powerful tools for real-time auditing, fraud detection, and resource optimization. These capabilities significantly enhance transparency and strengthen fiscal discipline. Drawing on global case studies, the study highlights how AI, when supported by robust regulatory and ethical frameworks, can significantly strengthen financial oversight and governance. In Nigeria, however, AI adoption faces notable challenges, including regulatory gaps, limited technical capacity, data privacy concerns, algorithmic bias, and the opaque nature of AI systems. Existing policies such as the National Digital Economy Policy and Strategy (2020–2030) and the Nigeria Data Protection Regulation (2019) provide some groundwork, but inconsistent implementation and the lack of a comprehensive AI legal framework hinder progress. Ethical considerations, including data governance, fairness, and explainability, are critical to ensuring public trust and equitable outcomes. Without deliberate safeguards, AI risks reinforcing systemic inequities. The paper recommends urgent action, including enacting the National Artificial Intelligence Strategy 2024, mandating AI explainability standards, and strengthening data protection enforcement. A proactive, ethical approach to AI deployment is essential for Nigeria to harness its full potential for inclusive, transparent, and sustainable development.