11.6: Corporate Governance

The long-term goal is to institute good corporate governance practices in the private sector.

Other Information:

Good corporate governance is an important factor within the creation of an enabling environment for rapid and sustainable private sector development. However, it is a relatively new phenomenon within the private sector context and as such, it requires support in order to ensure greater transparency and accountability of companies in the country. Strengthening good corporate governance will therefore be one of the key tools of addressing the problem of fraud and corruption within the private sector. In the past, the major problem has been lack of the code of good practices that would govern the operations of the private sector. This problem is now being addressed with the development of the code of best practices by the private sector. In addition, the Institute of Directors has been established so that it plays a leading role in championing corporate governance issues in the country. Efforts in the medium term will therefore emphasize on the implementation of the best practices with particular emphasis on transparency and accountability. This is expected to contribute towards reduction of fraud and corruption in the private sector... Medium term expected outcomes: In the medium-term, it is expected that there will be reduced corruption and fraud, and improved investor perceptions of Malawi as an attractive investment destination. This is expected to translate into increased levels of domestic and foreign direct investment.

Stakeholder(s):

• Corporations in Malawi

Indicator(s):

Indicator:1

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