Revised G20/OECD Principles of Corporate Governance
OECD Ministers adopted the revised G20/OECD Principles of Corporate Governance at the annual OECD Ministerial Council Meeting on 7-8 June 2023. In their ministerial statement adopting the Principles, Ministers recognized the contribution of the revised Principles “to the resilience and sustainability of our economies”. The revised G20/OECD Principles will be submitted to G20 Finance Ministers and Central Bank Governors for endorsement at their meeting on 17-18 July.
The Principles were revised in light of recent evolutions in capital markets and corporate governance policies and practices, and to ensure their continued standing as the leading international standard for corporate governance.
An overarching goal of the revision was to promote corporate governance policies that support the sustainability and resilience of corporations which, in turn, can contribute to the sustainability and resilience of the broader economy. Another main goal was to support national efforts to improve companies’ access to finance from capital markets.
The revised Principles include a new chapter on “Sustainability and resilience” which provides recommendations to support companies in managing the risks and opportunities of the climate transition and other sustainability challenges.
The revised Principles also reflect recent evolutions in, among others, corporate ownership and concentration, the growing role of institutional investors and stewardship, the increasing complexity of the risks corporations face, and the impact of digitalisation.