Strengthening corporate governance codes in Latin America

Corporate Gov in LA

Cefeidas Managing Director, Santiago Chaher has authored a recent report published by the Organisation for Economic Cooperation and Development (OECD) titled, Strengthening Corporate Governance Codes in Latin America.

The report reviews the ways in which corporate governance codes are drafted, updated, implemented and enforced in countries across Latin America. It also examines how corporate governance codes impact business practices, including the value they add in the overall legal and regulatory framework and the challenges associated with assessing that value.

Introduced as a draft report at the 2016 Latin American Corporate Governance Roundtable in Costa Rica on September 8 & 9, the report has been informed by a survey of all codes in Latin America as well as by public-private dialogue through attendance at committees, working groups and consultations.

The report concluded that in some cases, the monitoring of codes is challenging, often due to a setting’s lack of resources. It found there are weaknesses in the degree of understanding of what corporate governance is, with some in Latin America viewing corporate governance codes as a compliance exercise.

The report was coordinated by Senior Policy Analyst of the Corporate Affairs Division at the OECD, Daniel Blume.