The Role of Boards and Stakeholders in Corporate Governance in Singapore

Abstract

This paper was written specifically for the OECD Third Asian Roundtable on Corporate Governance, held in Singapore in April 2001, the theme of which was "the Role of Boards and Stakeholders in Corporate Governance". It goes without saying that a significant part of corporate governance is about managerial control and accountability. The duties imposed on directors, how Board members are chosen, Board composition, the interaction between members, the roles and responsibilities that Boards undertake, both as a whole and by their individual members, all have significant impact on the efficacy and propriety of the Board in fulfilling its functions. This paper discusses the regulatory environment within which Boards of listed companies in Singapore operate. It summarises the duties, roles and responsibilities imposed on and undertaken by Boards and directors in Singapore and highlights key aspects of Board processes and practices. Some empirical data is presented and the latest developments in corporate governance in Singapore and spearheaded by the relevant regulatory authorities are also highlighted.