Shareholder activism, stringent disclosures helps India improve corporate governance score

By Rajesh Naidu & Ashutosh R Shyam for The Economic Times

Increasing shareholder activism and stringent disclosure requirements under the new Companies Act have helped India improve its corporate governance score.

While the score has improved three percentage points to 54% in 2014 from 2012, India’s rank has remained seventh on the 11-nation list topped by Hong Kong, a CLSA report has said.

The brokerage and investment group’s corporate governance report is based on a study conducted by the Asian Corporate Governance Association. The scores are based on parameters such as corporate governance rules and practice, enforcement, political and regulatory environment, accounting procedure and corporate governance culture.  Read more here.

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