Baku, Azerbaijan, October 8, 2012—IFC,
a member of the World Bank Group, and Azerbaijan’s Ministry of Economic
Development are helping companies to assess their corporate governance
practices through the introduction of the Corporate Governance Scorecard,
which allows Azerbaijani companies to improve these practices in ways that
strengthen their performance and competitiveness.
IFC and the ministry officially launched
the scorecard today. The scorecard assigns different scores to companies
and their governance practices to assess the quality of governance and
to identify areas that need improvement. This makes the scorecard a source
of useful information for boards, investors, financial analysts, and regulators.
“The evaluation of companies' corporate
governance frameworks will create the basis for the implementation of good
corporate governance practices, better division of responsibilities between
governing bodies, and increased transparency and disclosure,” said Anar
Hacizada, Head of the Corporate Governance Division at the Ministry of
Economic Development. “This will help companies build trust and their
reputation while attracting capital, investment, and business partners.”
Christian Strenger, Deputy Chairman
of the IFC Global Corporate Governance Forum Private Sector Advisory Group,
Director of DWS Investment, and a member of the German Corporate Governance
Commission, said, “Adoption of the Corporate Governance Scorecard is a
milestone event as it provides Azerbaijani companies and their stakeholders
with a decisive tool to develop corporate governance improvement plans.
This initiative will find excellent recognition in the international markets,
which acknowledge progress in corporate governance as a prerequisite for
good governance systems."
Azerbaijan became a member of IFC in
1995. Since then IFC has invested approximately $364 million in Azerbaijan
to support more than 60 private sector projects in the financial services,
infrastructure, and manufacturing sectors. IFC also implements advisory
programs to improve the business climate, strengthen financial markets,
and increase resource efficiency.
The IFC Corporate Governance Program
in Europe and Central Asia is supported principally by the Swiss State
Secretariat for Economic Affairs (SECO), providing the majority of the
funds, with further support from Development Bank of Austria (OeEB).
IFC, a member of the World Bank Group,
is the largest global development institution focused exclusively on the
private sector. We help developing countries achieve sustainable growth
by financing investment, mobilizing capital in international financial
markets, and providing advisory services to businesses and governments.
In FY12, our investments reached an all-time high of more than $20 billion,
leveraging the power of the private sector to create jobs, spark innovation,
and tackle the world’s most pressing development challenges. For more
information, visit www.ifc.org.
For more information about SECO,
please visit: www.seco-cooperation.admin.ch
For more information about OeEB,
please visit: www.oe-eb.at