| In a press statement, Mr Jaime Caruana, Chairman of the Basel Committee and Governor of the Bank of Spain, said, "Effective corporate governance is essential to maintaining public trust and confidence in the banking sector, and provides a crucial anchor for sound risk management practices."
The document outlines a broad list of principles that are foundational to any corporate governance process. These include:
- Communicating strategic objectives and corporate values throughout the banking organisation
- Establishing and enforcing clear lines of responsibility and accountability
- Ensuring board members are suitably qualified and equipped for their role
- Ensuring appropriate oversight by senior management
- Effective use of control functions such as internal and external audit
- Conducting corporate governance in a transparent manner
The full consultative document, "Enhancing Corporate Governance for Banking Organisations", is available from the BIS website.
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