2.6.2.1 International initiatives

The OECD Principles of Corporate Governance 2004 (OECD Principles) are the result of a thorough revision of an earlier version of the same principles with reference to recent developments and experiences.1 The OECD Principles focus on power problems that have come into existence due to the separation of ownership and control in companies. As regards the issue of CSR, which also affects the decision-making process of an enterprise, the OECD Principles refer to the OECD MNE Guidelines and the OECD Corruption Convention. The OECD Principles aim to support authorities, stock exchanges, investors and enterprises in their efforts to improve corporate governance. They set out objectives for good governance and provide methods to realise these objectives. They are primarily directed at listed companies, but they may also prove useful for unlisted companies. The OECD Principles are based on commonly held values of the OECD Member countries in relation to corporate governance. The Principles have been divided into six chapters: 1. Ensuring the Basis for an Effective Corporate Governance Framework; 2. The Rights of Shareholders and Key Ownership Functions; 3. The Equitable Treatment of Shareholders; 4. The Role of Stakeholders in Corporate Governance; 5. Disclosure and Transparency; 6. The Responsibility of the Board.

The OECD Principles are non-binding and are not intended to be detailed prescriptions for national legislation. Rather, they suggest that authorities and private sectors develop their own best practice initiatives.