GFIA has responded to a consultation by the OECD on its draft revisions to the OECD-G20’s Principles of Corporate Governance.
GFIA fully supports the concepts set forth in the background and general statements, specifically those related to its purpose and intended uses, and which highlight that the principles:
- Are nonbinding.
- Emphasize the importance of proportionality.
- Recognize that no single corporate governance structure is recommended.
- Are not intended to second guess corporate decision-making.
- Also apply to state owned enterprises.
However, there are specific provisions within the draft revisions that lack necessary definition or that seem to favor a much more prescriptive approach. These include points on the treatment of confidential information and trade secrets, the reporting of cyber-attacks and issues related to ESG and sustainability.