World Bank2012-06-222012-06-222005-06https://hdl.handle.net/10986/8765This ROSC assessment of corporate governance in Malaysia benchmarks law and practice against the OECD Principles of Corporate Governance, and focuses on listed companies. Important corporate governance reforms have been implemented in Malaysia since 1998, when a high-level Finance Committee on Corporate Governance, consisting of both government and industry, was formed to identify and address weaknesses highlighted by the Asian financial crisis. Key reforms have included the development of a comprehensive master plan to further develop the capital market, the demutualization of Bursa Malaysia, introduction of a Code of Corporate Governance, and changes in the composition and role of its Board of Directors. In 2004, disclosure rules and corporate whistleblower protections were strengthened. In 2005, major reforms commenced to overhaul government-linked corporations (GLCs). The report stresses that in order to further improve its corporate governance practices, Malaysia faces the following challenges: the government's level of equity ownership remains large; free float remains low; and directors' accountability and protection for minority shareholders need further improvement. In addition, the role of institutional investors and shareholder activism in the corporate governance framework needs to be strengthened. This report identifies several key measures that focus on enforcement and implementation, including: Continued and consistent enforcement of disclosure and reporting requirements by the Securities Commission, with a focus on quality of information provided; Implementation of legislative reform to strengthen directors' independence and accountability to investors; and Development of a legal basis for and promotion of an active institutional investor community.en-USCC BY 3.0 IGOACCESS TO INFORMATIONACCOUNTABILITYACCOUNTING STANDARDSACQUISITIONACQUISITIONSAUDIT COMMITTEEAUDIT COMMITTEESAUTHORITYBANKSBOARD MEMBERSBREACH OF DUTYBUSINESS COMMUNITYCAPITAL MARKETSCEOCIVIL PENALTIESCIVIL PENALTYCLASS ACTIONSCOMMON LAWCOMPANIES ACTCOMPANYCOMPANY LIMITEDCONFLICTS OF INTERESTSCONTINUOUS DISCLOSURECONTROLLING SHAREHOLDERSCORPORATE BODYCORPORATE GOVERNANCECORPORATE GOVERNANCE INITIATIVESCORPORATE GOVERNANCE PRINCIPLESCORPORATE GOVERNANCE REFORMCORPORATE GOVERNANCE REFORMSCORPORATE INFORMATIONCORPORATE LAWCORPORATE LAW REFORMCORPORATE OWNERSHIPCORPORATE PERFORMANCECORPORATE RESTRUCTURINGCORPORATIONSCOURT ACTIONDECISION MAKINGDECISION MAKING AUTHORITYDERIVATIVE ACTIONDERIVATIVE ACTIONSDISCLOSURE OF INFORMATIONDUE DILIGENCEECONOMIC DEVELOPMENTECONOMIC PERFORMANCEENFORCEMENT ACTIONENFORCEMENT POWERSETHICAL STANDARDSFEDERAL GOVERNMENTFIDUCIARY DUTIESFIDUCIARY DUTYFINANCIAL CRISESFINANCIAL CRISISFINANCIAL INSTITUTIONSFINANCIAL PERFORMANCEFINANCIAL STATEMENTSFIRMSFOREIGN INVESTMENTFOREIGN PARTICIPATIONFULL DISCLOSUREGOLDEN SHAREGOLDEN SHARESGOOD CORPORATE GOVERNANCEGOVERNANCE ENVIRONMENTGOVERNANCE ISSUESGOVERNMENT OFFICIALSINCORPORATEDINDEPENDENT AUDITINDEPENDENT DIRECTORINDEPENDENT DIRECTORSINITIAL PUBLIC OFFERINGSINSIDER TRADINGINSTITUTIONAL FRAMEWORKINSTITUTIONAL INVESTORINSTITUTIONAL INVESTORSINSTITUTIONAL SHAREHOLDERSINTERESTED PARTIESINVESTIGATIONINVESTMENT COMPANIESINVESTOR PROTECTIONLAWYERSLEGAL FRAMEWORKLEGAL PROVISIONSLEGISLATIONLEGISLATIVE FRAMEWORKLEGISLATIVE REFORMLIMITEDLISTED COMPANIESMAJORITY SHAREHOLDERSMANAGERSMERGERSMINISTRY OF FINANCEMINORITY SHAREHOLDERSPACIFIC REGIONPARLIAMENTPERFORMANCE INDICATORSPERSONSPOISON PILLPROPERTY RIGHTSPROTECTION OF MINORITY SHAREHOLDERSPROXYPUBLIC COMPANIESPUBLIC COMPANYPUBLIC POLICYRATIONALIZATIONREGULATORY AUTHORITIESREGULATORY ENFORCEMENTREGULATORY FRAMEWORKREGULATORY INSTITUTIONSREGULATORY INTERVENTIONREGULATORY REQUIREMENTSRELATED CORPORATIONREPRESENTATIVESRIGHTS OF MINORITY SHAREHOLDERSRIGHTS OF SHAREHOLDERSRISK MANAGEMENTRULE OF LAWSECURITIES LAWSECURITIES LAWSSHAREHOLDERSHAREHOLDER ACTIVISMSHAREHOLDER APPROVALSHAREHOLDER RIGHTSSPECIFIC DUTIESSPECIFIC SHAREHOLDERSSTAKEHOLDERSTAKEHOLDERSSTATE AGENCIESSTATE-OWNED ENTERPRISESSTATUTORY REMEDIESSTOCK EXCHANGESTOCK EXCHANGESSTOCK MARKETTAKEOVERSTRANSPARENCYUNLIMITED COMPANIESVENTURE CAPITALVETOVOTINGWorld Bank10.1596/8765