Increasingly, the OECD and its member governments have recognised the synergy between macroeconomic and structural policies in achieving fundamental policy goals. Corporate governance is one key element in improving economic efficiency and growth as well as enhancing investor confidence. The OECD Steering Group on Corporate Governance  co-ordinates and guides the Organisation's work on corporate governance.

Good corporate governance should provide proper incentives for the board and management to pursue objectives that are in the interests of the company and its shareholders and should facilitate effective monitoring. The presence of an
effective corporate governance system, within an individual company and
across an economy as a whole, helps to provide a degree of confidence that
is necessary for the proper functioning of a market economy.

As a result, the cost of capital is lower and firms are encouraged to use resources more efficiently, thereby underpinning growth. A critical ingredient for the success of this work is the sustained policy dialogue amongst decision-makers from public and private sector institutions as well as representatives of civil society in member and non-member economies.

In the area of Corporate Governance, a series of Roundtables are developing regional White Papers for policy reform, using the OECD Principles of Corporate Governance  as a basis for dialogue. Corporate Governance and Development researches the quality of governance within enterprises.

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