Better Companies Better Societies IFC Global Corporate Governance

Better Companies, Better Societies IFC - Global Corporate Governance Forum January 2009

Who We Are § IFC multi-donor trust funded facility ↳ Founded in 1999 by World Bank Group and OECD § Forum’s purpose: ↳ Promote global, regional and local CG reform initiatives ↳ Improve institutional framework for good corporate governance ↳ Facilitate improved CG practices in emerging markets 2

Sequenced, Integrated Approach CG Codes TK 1 Raising boardroom practices, setting framework for enhanced standards Director Institutions TK 2 Creating institutional capacity for implementation of best practice CG Leadership Resources TK 3 Providing material to facilitate sustainable institutions, quality training CG Mediation TK 4 [Due FY 09] Supporting business climate and relieving legal system Media TK 5 [Due FY 10] Facilitating extra regulatory market oversight – JV with Thomson Reuters Toolkits Provide “Best in Class”, Practical Guidance – Building Institutional Capacity 3

TK 5 TK 4 TK 3 Boards TK 6 TK 2 Companies Director Training Organizations TK 7 TK 8 Toolkit 1 “Expert training strengthens our effectiveness in building board directors’ professionalism. ” § Based on global best practices § Practical guidance § Solutions to meet local conditions § Peer networking § Focus: Guide sustainable institution building Participant, Panama IOD Project 4

TK 6 TK 5 TK 4 Boards TK 7 TK 3 Companies TK 8 TK 1 Toolkit 2 “The Forum’s expertise and experiences provided Bulgaria with practical, relevant, insightful counsel. ” Prof. Bistra Boeva Co-Chair, Bulgaria CG Project Corporate Governance Codes § Best of international practice § Clear, comprehensive guidelines § International expertise/PSAG § Supports policy reforms § Code Peer Review Group § Toolkit available in English, French, Arabic, Spanish and is currently being translated by EBRD to Russian § Focus: Facilitate better boardroom practices, local ownership of the process 5

TK 7 TK 6 TK 5 Boards TK 8 TK 4 Companies Board Development Resource Kit TK 1 TK 2 Toolkit 3 “This new approach in adult learning and case study development will enhance my skills as a trainer in educating company directors. ” Participant, CG Leadership Program for East and Southern Africa § Enhance directors’ business skills § Engage directors in value-based judgments, through challenging boardroom dilemmas § Innovative • Adult-learning strategies • Interactive through cases • Audio-visual aids § High level of global utility § Focus: Strengthen director training techniques 6

TK 8 TK 7 TK 6 Boards TK 1 TK 5 Companies Corporate Governance Mediation TK 2 TK 3 Toolkit 4 “I welcome the Forum’s initiative to lead ground breaking work on the use of ADR in the field of Corporate Governance. ” Mervyn King, Former High Court Judge South Africa § New initiative § Broad-based partnerships § Release capital tied up in disputes, encourage mediated settlement § Enforces good CG practice § Supports shareholder protection § Improves investor confidence § Focus: Foster investment climate and business practices 7

TK 2 TK 1 TK 8 Boards TK 3 TK TK 57 Companies Training for Financial Journalists TK 4 TK 5 Toolkit 6 “Better informed journalists make for more insightful reporting that benefits investors, capital markets. ” § Vanguard for CG awareness § Enhance understanding of CG and financial reporting § Practical training § Exposure to leading journalists § Partnership with Reuters § Focus: Build understanding and importance of CG, facilitate better reporting Participant, Balkans Media Project 8

Our Reform Approach ↳e. g. , World Bank CG ROSC, OECD Provide Leverage for CG Reform ↳e. g. , IFC, World Bank, EDFI, EBRD, etc. Build Expertise in CG Institutions ↳e. g. , Accrediting Toolkit Use, Training Trainers Support Local Capacity through TA ↳e. g. , CG Experts, PSAG, Building Collaboration D e p l o y i n g O u r T o o l k i ts Catalyst for Implementing CG Policy Reform 9

Our Private Sector Advisory Group § Makes us unique! § Drawn from top echelons of business leadership ↳ Chaired by Peter Dey, with Christian Strenger as Deputy Chairman ↳ Includes experts from different parts of the world § Provide guidance and counsel on our strategy § Bring practical, relevant business experience § Advise on new products, provide material for publications § Support Forum outreach and penetration globally § Only one part of expansive, global network of partners 10

How to Work with us § We are NOT a grant-making facility, instead we finance technical support § Our PSAG network § Code peer review § Flexible process § We welcome new initiatives, but need enough time to properly prepare § We follow a partnership model 11

Disseminating Best Practices § Relevant to Developing Countries Undertaking Reforms § Identify Material that is Useful, Practical § Translation to Working Language § Focus ↳ In-depth assessments of policy issues ↳ Sharing experiences and knowledge ↳ Frameworks our wider mandate § Private Sector Opinions ↳ Ten now issued to date ↳ Covers broad spectrum of issues ↳ Practical insights drawn from PSAG § Website (www. gcgf. org) 12

THANK YOU Hassan El-Shabrawishi Global Corporate Governance Forum Telephone +1 202 458 9521 helshabrawishi@ifc. org www. gcgf. org 13