"Our long-term purpose is to ensure that Commonwealth developing countries will be the most attractive locations for trade and investment" -- Dr Srinivas Sampath, Adviser and Head of Public-Private Sector Partnerships at the Secretariat
29 August 2007
A lever for economic development of small states
A workshop to support the implementation of a corporate governance code for Maldives took place from 22 to 23 August 2007 on Kurumba Island, Maldives.
The code, which will be implemented in January 2008, will provide companies and institutions operating in Maldives with guidelines for practising good corporate governance. It addresses shareholder rights, disclosure requirements and auditing procedures.
The Commonwealth Secretariat’s Governance and Institutional Development Division, the Capital Market Development Authority, and the World Bank’s Global Corporate Governance Forum organised the event to give stakeholders in Maldives a better understanding of the code prior to its introduction. The event was also used as an opportunity to raise awareness on corporate governance.
The code is particularly relevant to small states where the introduction of new businesses can have a substantial impact on a small market. A good corporate structure can also help boost the confidence of national and international investors.
In 2006, the Commonwealth Fund for Technical Co-operation assisted Maldives in the development of the corporate governance code. The Secretariat became involved as part of its mandate to assist initiatives promoting development in small and island states.
Dr Srinivas Sampath, Adviser and Head of Public-Private Sector Partnerships at the Secretariat, said: “A significant number of our members fall in this group and we can bring to bear our global experience on policy issues under discussion in a forum such as this.”
The code will ensure that listed companies adhere to all aspects of good corporate governance.
The Secretariat regards corporate governance as a highly-effective policy instrument drawing on international best practices. It is most valuable when structured to meet the individual needs of a country.
“Our long-term purpose is to ensure that Commonwealth developing countries will be the most attractive locations for trade and investment, a vital plank in our efforts to promote social and economic development and alleviate poverty,” said Dr Sampath.