I just ran across a report dated May 2006 from the World Bank entitled Held by the Invisible Hand: The Challenge of SOE Corporate Governance for Emerging Markets. The report notes that "In state-owned enterprises (SOEs), state ownership and government control present inherent governance challenges that contribute to poor performance. However, efforts to improve corporate governance in SOEs have lagged those of the private sector, where changes have been extensive over the past decade."
It should come as no surprise that SOEs to some extent copy what it happening in the private sector when it comes to governance reform. This is especially true in nations that are privatizing certain industries.
See full Article.
Posts
