"Corporate governance is needed to create a corporate culture of transparency, accountability and disclosure", comment.

Corporate Governance is needed to create a corporate culture of transparency, accountability and disclosure. It refers to compliance with all the moral & ethical values, legal framework and voluntarily adopted practices. Corporate Governance is needed for the following: Corporate Performance: Improved governance structures and processes ensure quality decision-making, encourage effective succession planning and enhance the long-term prosperity of companies. Enhanced Investor Trust: Investors consider corporate governance as important as financial performance when evaluating companies for investment. Investors who are provided with high levels of disclosure and transparency are likely to invest openly in those companies. Better Access to Global Market: Good corporate governance system attracts investment from global investors, which subsequently leads to greater efficiencies in the financial sector. Combating Corruption: Companies that are transparent, and have sound system that provide full disclosure of accounting and auditing procedures, allow transparency in all business transactions, provide environment where corruption would certainly fade out. Easy Finance from Institutions: Evidences indicate that well-governed companies receive higher market valuations. The credit worthiness of a company can be trusted on the basis of corporate governance practiced in the company. Enhancing Enterprise Valuation: Improved management accountability and operational transparency fulfil investors' expectations and confidence on management and corporations, and in return, increase the value of corporations. Reduced Risk of Corporate Crisis and Scandals: Effective Corporate Governance ensures efficient risk mitigation system in place. Accountability: Investor relations are essential part of good corporate governance. Investors directly/ indirectly entrust management of the company to create enhanced value for their investment. Good Corporate Governance practices create the environment whereby Boards cannot ignore their accountability to these stakeholders.