Institute to act as a platform for private sector

A NEWLY established institute seeks to actively promote good governance practices in Fiji’s business sector as well throughout the region.

The Pacific Corporate Governance Institute (PCGI), an initiative by the International Finance Corporation (IFC), was launched in Suva yesterday which will organise and co-ordinate in-depth governance training for board directors and management executives in Fiji.

And with the increasing need to raise governance standards in the Fijian market, PCGI will be a platform for private sector to be strong advocates in helping shape the regulatory and broader business-enabling environment.

The initiative comes under IFC’s Corporate Governance Program in the Pacific is implemented in partnership with the support from the Australian Government through its Department of Foreign Affairs and Trade.

The move has also been endorsed by the Reserve Bank of Fiji, the country’s financial regular while the institute will be working also with the South Pacific Stock Exchange (SPSE).

Officiating at the launch, IFC resident representative for Fiji, Samoa, Tonga, and Kiribati Deva De Silva reiterated that good corporate practices were vital to help business, enterprises and banks to survive and thrive.

“We have clearly seen an appetite within the business community in Fiji for more knowledge and a willingness to learn more about corporate governance,” Mr De Silva said.

“The bottom line is corporate governance helps companies operate more efficiently, it improves their access to capital and helps mitigate risks and safeguards against mismanagement.”

Mr De Silva said good governance could help Fijian companies not only improve their competitiveness but also provide assurance to investors and business partners.

This is to attract capital and remain sustainable over the long term.

RBF governor Ariff Ali said the new institute would contribute to the sustainable development of the country’s banking sector and capital markets.

“The new institute will play a crucial role in raising governance standards in our market, which will help Fijian companies better manage risks and improve profitability,”

While the new institute will focus foremost on Fiji, it is expected to branch out further into the Pacific helping improve the performance of regional companies, state-owned enterprises and banks through education of good corporate standards, market awareness and advocacy.

This will be done with the aim to help bolster long-term growth.

IFC’s Corporate Governance Program aims to help Pacific companies adopt effective governance standards and practices by raising market awareness, building the capacity of regulators and local partners, and providing firm-level advisory services.

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