PRESS RELEASE: DEVELOPMENT OF THE NATIONAL CORPORATE GOVERNANCE CODE FOR GHANA

by | Oct 8, 2022 | News, Press Release

 

1. The Institute of Directors-Ghana (IoD-Gh) in collaboration with the Bank of Ghana (BoG), the Securities and Exchange Commission (SEC), the Ghana Stock Exchange (GSE), the State Interests and Governance Authority (SIGA), the Public Services Commission, the Institute of Chartered Accountants, Ghana (ICAG), the Ghana Association of Restructuring and Insolvency Advisors(GARIA), the Association of Ghana Industries(AGI), the Ghana Bar Association(GBA), the National Insurance Commission(NIC), The National Banking College(NBC), Ghana National Chamber of Commerce and Industry (GNCCI), Ghana Union of Traders Association (GUTA), Ghana Securities Industry Association, The Ghana Association of Integrated Thinking and Reporting(GAITR), Governance Experts, Consultants and Practitioners, National and International Academics, and other key stakeholders, held a multi–stakeholder meeting at which event a project to develop a National Corporate Governance Code was launched on the 4th November, 2021 by the Governor of the Bank of Ghana, represented by Mrs. Elsie Addo Awadzi, the 2nd Deputy Governor of BoG and was attended by over 60 key multi-sector participants

2. Despite having several sectoral governance codes for banks, insurance companies, listed companies, and public sector organisations, amongst others, Ghana does not yet have a national corporate governance code. This does not just lead to a lack of coherence in the country’s approach to corporate governance, but leaves a vast cross-section of businesses and enterprises in the informal sector, not-for-profit organisations, and small and medium-sized enterprises without any corporate governance guidelines.

3. To address this issue, the Institute of Directors–Ghana (IoD-Gh) is leading the corporate sector of Ghana to develop a comprehensive national corporate governance code that harmonises existing sectoral codes, covers sectors without corporate governance codes and incorporates best international corporate governance practices.

4. IoD-Gh inaugurated a Technical/Drafting Committee on 20th January 2022 comprising key public and private sector actors, and national and international academics and governance consultants/experts/practitioners/professionals to draft the national code of corporate governance (i.e., the Ghana Code). The final exposure draft of the Ghana Code was approved for external circulation and national stakeholder engagement on 31st August 2022 and IoD-Gh plans to hold further external/national stakeholder engagements up to the end of October 2022.

5. The Ghana Code comprises two main parts. The first part (Part I) sets the general national standards of corporate governance and reflects relevant provisions of the 2019 Companies Act (Act 992) and best practices in existing national and international corporate governance codes, as well as Ghanaian cultural disposition and national aspirations. Part I of the Ghana Code rests on the following architecture:

  • Three [3] core [PAR] values of Patriotism, Accountability, and Responsibility.
  • Five [5] governance [PLC-GH] pillars of Purpose, Leadership, Controls, Genuine-disclosures, and Humane-engagements.
  • Thirteen [13] fundamental principles, and seventy-nine [79] provisions.

The second part of the Ghana Code (Part II) endorses existing sectoral corporate governance codes, and develops new corporate governance codes for economic sectors without codes, including the informal sector, not-for-profit organisations and small and medium-sized enterprises.

6. As part of the national stakeholder and general public consultation and engagement exercise, IoD-Gh welcome comments/feedback on the national exposure draft from the public and private sector actors, governance experts, businesses, academics, professionals (bodies) and the general public, especially from the Ghanaian/African communities. The exposure draft of the Ghana Code is available from the IoD-Gh website here: https://iodghana.org/about-us/ncgc-project/

7. Comments/feedback on the draft can be shared via this email: (NCGP@iodghana.org) or via this feedback form or the following social media handles:

  • LinkedIn: The National Corporate Governance Code for Ghana
  • Facebook: The National Corporate Governance Code for Ghana
  • Twitter: @Ghana_code
  1. Stakeholders are also invited to participate in a live presentation on the Ghana Code on the following dates:
    1. Public Sector – 18th October, 2022 at 9:30 GMT to 12:30 GMT

Link https://iodghana.org/about-us/ncgc-project/

Meeting ID: 884 7577 9213; Passcode: 266259

  1. Private Sector – 19th October, 2022 at 9:30 GMT to 12:30 GMT

Link https://iodghana.org/about-us/ncgc-project/

Meeting ID: 884 7577 9213, Passcode: 266259

  1. For enquiries and sponsorship opportunities please contact: (NCGP@iodghana.org).
  2. The Ghana Code is expected to be launched on the 18th November, 2022

We acknowledge the tremendous support from our Sponsors, Technical/Drafting Committee Members, Fund Raising Committee Members, Publicity Committee Members and Steering Committee Members and all other Stakeholders that have contributed in developing the Ghana National Corporate Governance Code.

Issued by

Rockson Kwesi Dogbegah (FIoD),

President, Institute of Directors-Ghana

6th October, 2022