Corporate Governance Country Assessment : Republic of Peru
This report assesses the corporate governance policy framework, and enforcement and compliance practices in Peru. Corporate governance reform is at an early stage, and some legislation has recently been upgraded to protect shareholder rights. The m...
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| Format: | Corporate Governance Assessment (ROSC) |
| Language: | English en_US |
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Washington, DC
2013
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| Online Access: | http://documents.worldbank.org/curated/en/2004/06/6583114/peru-report-observance-standards-codes-rosc-corporate-governance-country-assessment http://hdl.handle.net/10986/14479 |
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okr-10986-144792021-04-23T14:03:18Z Corporate Governance Country Assessment : Republic of Peru World Bank ABUSE OF POWER ACCOUNTABILITY ADMINISTRATIVE AUTHORITY ASSETS AUDIT COMMITTEES AUTHORIZATION BANKRUPTCY BENCHMARKS BOLSA BUNDLING CAPITAL MARKETS CENTRAL BANK COMPANY CONSUMERS CORPORATE CONTROL CORPORATE GOVERNANCE CORPORATION CORPORATIONS DECREE DISCLOSURE DISCLOSURE REQUIREMENTS DIVIDENDS EXPROPRIATION EXTERNAL AUDITORS FINANCIAL INFORMATION FINANCIAL INSTITUTIONS FINANCIAL INTERESTS FINANCIAL MARKETS FIRMS FOREIGN SHAREHOLDERS GDP GOOD GOVERNANCE GOVERNMENT POLICY GROWTH RATE INSIDER TRADING INSOLVENCY INSTITUTIONAL FRAMEWORK INSTITUTIONAL INVESTORS INTERNAL AUDIT INTERNATIONAL FINANCE INVESTMENT CLIMATE JUDICIARY LATIN AMERICAN LAWYERS LEASING LEGAL COUNSEL LEGAL FRAMEWORK LEGAL PROVISIONS LEGAL REQUIREMENTS LEGISLATION LIQUIDATION LIQUIDITY LISTED COMPANIES MINORITY SHAREHOLDERS MUTUAL FUNDS PORTFOLIO PORTFOLIOS PRIVATE PENSION PRIVATE SAVINGS REGULATORY BODIES REGULATORY FRAMEWORK REPRESENTATIVES SHARE CAPITAL SHAREHOLDER MEETING SHAREHOLDER MEETINGS SHAREHOLDERS STATEMENT STATEMENTS STRATEGIC INVESTOR TRANSPARENCY VOTING VOTING SHARES WEALTH This report assesses the corporate governance policy framework, and enforcement and compliance practices in Peru. Corporate governance reform is at an early stage, and some legislation has recently been upgraded to protect shareholder rights. The major issues are driven by the growing importance of private pension funds, which have become the most important institutional investors. At present, the governance structure of the pension fund administrators is weak, and there are not enough checks and balances to deal with conflicts of interest. Improving the internal governance structure is crucial in order to ensure the preservation of private savings for retirement. Voting and board representation policies are being developed by the regulator, so that pension funds can assume an active role as shareholders of their portfolio companies. The report recommends that: (1) the procedures governing the general meetings should be amended to encourage shareholder participation; (2) the related party transactions' approval process should be more transparent and allow shareholders to opt to challenge transactions that are unfair to them; (3) the thresholds to challenge corporate decisions should be lowered and harmonized for all listed companies, and (4) there should be a requirement for a minimum number or percentage of independent directors on the boards of listed companies and for the creation of audit committees, and (5) directors should have access to adequate training so as to understand their duties and responsibilities. The report also proposes increased independence and a strengthening of enforcement mechanisms for the securities regulator. 2013-07-23T16:06:45Z 2013-07-23T16:06:45Z 2004-06 http://documents.worldbank.org/curated/en/2004/06/6583114/peru-report-observance-standards-codes-rosc-corporate-governance-country-assessment http://hdl.handle.net/10986/14479 English en_US CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank Washington, DC Economic & Sector Work :: Corporate Governance Assessment (ROSC) Economic & Sector Work Latin America & Caribbean Peru |
| repository_type |
Digital Repository |
| institution_category |
Foreign Institution |
| institution |
Digital Repositories |
| building |
World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
English en_US |
| topic |
ABUSE OF POWER ACCOUNTABILITY ADMINISTRATIVE AUTHORITY ASSETS AUDIT COMMITTEES AUTHORIZATION BANKRUPTCY BENCHMARKS BOLSA BUNDLING CAPITAL MARKETS CENTRAL BANK COMPANY CONSUMERS CORPORATE CONTROL CORPORATE GOVERNANCE CORPORATION CORPORATIONS DECREE DISCLOSURE DISCLOSURE REQUIREMENTS DIVIDENDS EXPROPRIATION EXTERNAL AUDITORS FINANCIAL INFORMATION FINANCIAL INSTITUTIONS FINANCIAL INTERESTS FINANCIAL MARKETS FIRMS FOREIGN SHAREHOLDERS GDP GOOD GOVERNANCE GOVERNMENT POLICY GROWTH RATE INSIDER TRADING INSOLVENCY INSTITUTIONAL FRAMEWORK INSTITUTIONAL INVESTORS INTERNAL AUDIT INTERNATIONAL FINANCE INVESTMENT CLIMATE JUDICIARY LATIN AMERICAN LAWYERS LEASING LEGAL COUNSEL LEGAL FRAMEWORK LEGAL PROVISIONS LEGAL REQUIREMENTS LEGISLATION LIQUIDATION LIQUIDITY LISTED COMPANIES MINORITY SHAREHOLDERS MUTUAL FUNDS PORTFOLIO PORTFOLIOS PRIVATE PENSION PRIVATE SAVINGS REGULATORY BODIES REGULATORY FRAMEWORK REPRESENTATIVES SHARE CAPITAL SHAREHOLDER MEETING SHAREHOLDER MEETINGS SHAREHOLDERS STATEMENT STATEMENTS STRATEGIC INVESTOR TRANSPARENCY VOTING VOTING SHARES WEALTH |
| spellingShingle |
ABUSE OF POWER ACCOUNTABILITY ADMINISTRATIVE AUTHORITY ASSETS AUDIT COMMITTEES AUTHORIZATION BANKRUPTCY BENCHMARKS BOLSA BUNDLING CAPITAL MARKETS CENTRAL BANK COMPANY CONSUMERS CORPORATE CONTROL CORPORATE GOVERNANCE CORPORATION CORPORATIONS DECREE DISCLOSURE DISCLOSURE REQUIREMENTS DIVIDENDS EXPROPRIATION EXTERNAL AUDITORS FINANCIAL INFORMATION FINANCIAL INSTITUTIONS FINANCIAL INTERESTS FINANCIAL MARKETS FIRMS FOREIGN SHAREHOLDERS GDP GOOD GOVERNANCE GOVERNMENT POLICY GROWTH RATE INSIDER TRADING INSOLVENCY INSTITUTIONAL FRAMEWORK INSTITUTIONAL INVESTORS INTERNAL AUDIT INTERNATIONAL FINANCE INVESTMENT CLIMATE JUDICIARY LATIN AMERICAN LAWYERS LEASING LEGAL COUNSEL LEGAL FRAMEWORK LEGAL PROVISIONS LEGAL REQUIREMENTS LEGISLATION LIQUIDATION LIQUIDITY LISTED COMPANIES MINORITY SHAREHOLDERS MUTUAL FUNDS PORTFOLIO PORTFOLIOS PRIVATE PENSION PRIVATE SAVINGS REGULATORY BODIES REGULATORY FRAMEWORK REPRESENTATIVES SHARE CAPITAL SHAREHOLDER MEETING SHAREHOLDER MEETINGS SHAREHOLDERS STATEMENT STATEMENTS STRATEGIC INVESTOR TRANSPARENCY VOTING VOTING SHARES WEALTH World Bank Corporate Governance Country Assessment : Republic of Peru |
| geographic_facet |
Latin America & Caribbean Peru |
| description |
This report assesses the corporate
governance policy framework, and enforcement and compliance
practices in Peru. Corporate governance reform is at an
early stage, and some legislation has recently been upgraded
to protect shareholder rights. The major issues are driven
by the growing importance of private pension funds, which
have become the most important institutional investors. At
present, the governance structure of the pension fund
administrators is weak, and there are not enough checks and
balances to deal with conflicts of interest. Improving the
internal governance structure is crucial in order to ensure
the preservation of private savings for retirement. Voting
and board representation policies are being developed by the
regulator, so that pension funds can assume an active role
as shareholders of their portfolio companies. The report
recommends that: (1) the procedures governing the general
meetings should be amended to encourage shareholder
participation; (2) the related party transactions'
approval process should be more transparent and allow
shareholders to opt to challenge transactions that are
unfair to them; (3) the thresholds to challenge corporate
decisions should be lowered and harmonized for all listed
companies, and (4) there should be a requirement for a
minimum number or percentage of independent directors on the
boards of listed companies and for the creation of audit
committees, and (5) directors should have access to adequate
training so as to understand their duties and
responsibilities. The report also proposes increased
independence and a strengthening of enforcement mechanisms
for the securities regulator. |
| format |
Economic & Sector Work :: Corporate Governance Assessment (ROSC) |
| author |
World Bank |
| author_facet |
World Bank |
| author_sort |
World Bank |
| title |
Corporate Governance Country Assessment : Republic of Peru |
| title_short |
Corporate Governance Country Assessment : Republic of Peru |
| title_full |
Corporate Governance Country Assessment : Republic of Peru |
| title_fullStr |
Corporate Governance Country Assessment : Republic of Peru |
| title_full_unstemmed |
Corporate Governance Country Assessment : Republic of Peru |
| title_sort |
corporate governance country assessment : republic of peru |
| publisher |
Washington, DC |
| publishDate |
2013 |
| url |
http://documents.worldbank.org/curated/en/2004/06/6583114/peru-report-observance-standards-codes-rosc-corporate-governance-country-assessment http://hdl.handle.net/10986/14479 |
| _version_ |
1764429248376864768 |