World Bank2013-08-222013-08-222002-07https://hdl.handle.net/10986/15305This assessment benchmarks the Lithuanian corporate governance system against the OECD Principles of Corporate Governance and highlights a number of areas where Lithuania's corporate governance system can be strengthened. Lithuania has already invested considerable resources in upgrading its legislation to meet EU Directives, and the legislative and regulatory framework dealing with corporate governance issues is quite robust. The policy recommendations can be grouped under three broad categories: legislative reform, institutional strengthening and voluntary/private initiatives. The legislative and regulatory framework dealing with corporate governance practices has undergone substantial change. The most serious problem is compliance and enforcement. While the assessment highlights several areas where Lithuania's corporate governance system could be strengthened, the priority should be given to the enforcement of existing laws. This report promotes private sector initiatives and capacity building to follow up on the legislative progress on corporate governance reform. It recommends the development of a Lithuanian or regional voluntary code of best practice in corporate governance. The code should be prepared by a task force coordinated by the LSE and made up of public and private sector representatives. In addition, the report proposes the creation of a regional Institute of Directors, to provide training for supervisory board members, disseminate best practice and play a vital role in the dialogue between the public and private sector. Together, these measures give issuers the choice to implement best practice and investors a benchmark against which to measure corporate governance in Lithuania.en-USCC BY 3.0 IGOACCOUNTABILITYACQUISITION OF ASSETSACQUISITION PRICEADVISORY SERVICESAUDIT COMMITTEESAUTHORITYAUTHORIZATIONAUTHORIZED CAPITALBANKRUPTCYBOARD MEMBERSBOARD OF DIRECTORSCAPITAL MARKETSCAPITAL STRUCTURECATEGORIES OF SHARESCLASSES OF SHARESCOMMERCIAL BANKCOMMERCIAL BANKSCOMMERCIAL LAWCOMPANYCOMPANY LAWCOMPANY MANAGEMENTCONCENTRATION OF OWNERSHIPCONFIDENTIALITY AGREEMENTCONFLICT OF INTERESTCONFLICTS OF INTERESTCONVERTIBLE DEBENTURESCORPORATE CONTROLCORPORATE CULTURECORPORATE GOVERNANCECORPORATE GOVERNANCE SYSTEMCORPORATE PERFORMANCECORPORATE STRATEGYCORPORATIONCORPORATIONSCOUNSELDECISION MAKINGDECISION MAKING PROCESSDECREESDEGREE OF CONTROLDISCLOSUREDISCLOSURE OF INFORMATIONDISCLOSURE REQUIREMENTSDISCLOSURE RULESDIVIDENDSDOMESTIC INSTITUTIONAL INVESTORSDUE DILIGENCEEMPLOYMENTEXECUTIVE OFFICEREXPENDITURESEXTRAORDINARY SHAREHOLDERSFINANCIAL CONTROLFINANCIAL INFORMATIONFINANCIAL INSTITUTIONSFINANCIAL INTERESTSFINANCIAL MANAGEMENTFINANCIAL MARKETFINANCIAL SECTORFINANCIAL SITUATIONFINANCIAL STATEMENTSFIRMSFIXED ASSETSFOREIGN DIRECT INVESTMENTFOREIGN SHAREHOLDERSGLOBAL ECONOMYGOVERNMENT OFFICIALSGROUP OF SHAREHOLDERSINSIDER TRADINGINSOLVENCYINSOLVENTINSTITUTIONAL FRAMEWORKINSTITUTIONAL INVESTORSINTERNATIONAL MARKETSINVESTMENT BANKINGINVESTOR RELATIONSJUDICIARYLEGAL ENTITIESLEGAL FRAMEWORKLEGAL REQUIREMENTSLEGISLATIONLEGISLATIVE REFORMLIFE INSURANCE COMPANIESLIMITED LIABILITYLISTED COMPANIESMAJORITY OWNERSHIPMANAGEMENTMANAGEMENT BOARDMANAGEMENT BODYMARKET CONDITIONSMARKET ECONOMYMARKET INFORMATIONMARKET PRICEMARKET STRUCTUREMASS MEDIAMINISTRY OF FINANCEMINORITY SHAREHOLDERMINORITY SHAREHOLDERSMUNICIPALITYNET PROFITSOWNERSHIP INTERESTOWNERSHIP STRUCTUREPENSION FUNDSPRIVATE PENSIONPRIVATE SECTORPRIVATE SECTORSPRIVATIZATION OF STATEPROTECTION OF MINORITY SHAREHOLDERSPUBLIC COMPANIESPUBLIC DISCLOSUREPUBLIC INTERESTRATIONALIZATIONREGULATORY FRAMEWORKREPRESENTATIVESRISK MANAGEMENTSHARE CAPITALSHARE OWNERSHIPSHAREHOLDER MEETINGSSHAREHOLDERSSHAREHOLDINGSHAREHOLDING STRUCTURESHARES OUTSTANDINGSTAKEHOLDERSSTATE-OWNED ENTERPRISESSTATEMENTSSTOCK EXCHANGESTRATEGIC INVESTORSSURETYTRANSPARENCYVETOVOTINGVOTING SHARESVOUCHER PRIVATIZATIONWorld Bank10.1596/15305