Authors
Robert Walker
Bank bailout plans have created public pressure on governments to require changes to a corporate governance system revealing limits and failures during the current financial crisis. Given the objective of re-establishing public confidence and market trust, further political interference on governance reforms driven by social equity and risk control concerns are anticipated. CA Cheuvreux expects such initiatives to address weak remuneration systems, absence of transparency, lack of board expertise and accountability to ensure appropriate expertise to manage public driven funding and risk control. Reform will be applied more universally and bank shareholders will face minority shareholder status with reduced rights.