Gakeri, Jacob K (2013). Enhancing Kenya’s securities markets through corporate governance challenges and opportunities.
Abstract
The essential
role played by corporate governance in the promotion of securities markets cannot be over
-
emphasized. Internal corporate governance structures of publicly held companies must
inescapably
imbue
trust
and
enhance
investor confidence
in the orga
nization
.
Similarly
, the external corporate governance architecture
must be facilita
tive and
effective in safeguarding
the securities markets in general.
This paper argues that the
current internal and external corporate governance structures for listed c
ompanies
in Kenya
are largely
dysfunctional in safeguarding investor interest and promoting investor confidence as exemplified by incessant
corporate scandals.
The
operative
principles of corporate governance for listed
companies, which are based on
the
di
spersed ownership structure and whose enforcement matrix is
“
comply or explain
”
have not been
particularly effective. More importantly, the
obligations of directors, role of external auditors, shareholders and
the owners
hip architecture have not facilitate
d the
institutionalization
of
a
responsive culture of corporate
governance
.
There is need
for a paradigmatic shift
URI
http://www.ijhssnet.com/journals/Vol_3_No_6_Special_Issue_March_2013/11.pdfhttp://hdl.handle.net/11295/81972
Citation
Enhancing Kenya’s securities markets through corporate governance challenges and opportunities. International journal of humanities and social science, 3(6); pp. 94-117Publisher
University of Nairobi