At its 63rd meeting held on 24 October 2008 in Basseterre, Saint Christopher (St Kitts) and Nevis, the Monetary Council approved the Corporate Governance Principles for adoption by OECS member countries.
The Corporate Governance Principles are aimed at improving the legal, institutional and regulatory framework for corporate governance in the Caribbean and facilitating the development of national and/or sector specific codes.
The Principles, which are broadly modeled on the OECD Principles for Corporate Governance, represent a common basis that countries in the Caribbean consider essential for the development of good governance practices.
The principles focus on publicly held companies however they are also intended to serve as guiding principles to improve corporate governance in privately held, family owned and state owned enterprises as well as overall public sector governance. They also articulate the role of all stakeholders including customers, employees, pensioners and the public in the governance process.
The Principles are consistent with emerging global principles of corporate governance while taking into consideration the unique economic, social, legal and cultural circumstances of the region. They are non-binding and non-prescriptive so that they retain relevance in varying legal, economic and social contexts. However they are intended to serve as a reference tool in the development of national and/or sector specific codes and in the further development of national legal and regulatory frameworks.
The Corporate Governance Principles can play a critical role in the further development of the region’s money and capital market developments.