OECD
 The work of the OECD
The Organisation for Economic Co-operation and Development (OECD) is a unique forum for the governments of its 30 democracy members to work together to address economic, social and environmental challenges creating international standards.
As part of its work the OECD devised Principles to be adopted by its member countries corporate entities around the world for good corporate governance. First released in 1999 and revised in 2004, the OECD Principles are one of the 12 key standards for international financial stability of the Financial Stability Forum (FSF) and form the basis for the corporate governance component of the Report on the Observance of Standards and Codes of the World Bank Group. In 2009 the OECD launched an action plan to address weaknesses arising from the global financial crisis.
Implementing the Principles
The preamble to the OECD Principles states that they “are evolutionary in nature and should be reviewed in light of significant changes in circumstances”. It is also recognises that, “To remain competitive in a changing world, corporations must innovate and adapt their corporate governance practices so that they can meet new demands and grasp new opportunities”.
In 2006, OECD published the Methodology for Assessing Implementation of the OECD Principles on Corporate Governance which underpins the dialogue on implementation of the Principles in a jurisdiction and provides a framework for policy discussions.
In 2009, OECD launched an ambitious action plan to address weaknesses in corporate governance that are related to the financial crisis. It aims to develop a set of recommendations for improvements in priority areas, such as board practices, implementation of risk-management, governance of the remuneration process and the exercise of shareholder rights. The recommendations will also address how the implementation of already-agreed standards, such as the Principles, can be improved.
See also: Applying the OECD Principles to current policy issues.
In December 2009, OECD announced its Policy Framework for Effective and Efficient Financial Regularion. Download here
OECD REVIEW - Corporate Governance and the Financial Crisis: Key Findings and Main Messages
OECD Member Countries
Australia, Austria, Belgium, Canada, the Czech Republic, Denmark, Finland, France, Germany, Greece, Hungary, Iceland, Ireland, Italy, Japan, Korea, Luxembourg, Mexico, the Netherlands, New Zealand, Norway, Poland, Portugal, the Slovak Republic, Spain, Sweden, Switzerland, Turkey, the UK, and the USA.
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CTP Global - Good Governance: Great Performance
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