Macedonia’s Corporate Governance Framework Under Scrutiny: A Checklist for Investor Confidence

A recent report has shed light on Macedonia’s efforts to strengthen its corporate governance policy framework, highlighting areas of improvement and reform. The comprehensive assessment aims to inform investors about the country’s regulatory environment and compliance practices.

Disclosure Framework Overhaul Needed

The report calls for a major overhaul of the disclosure framework as part of the ongoing revision of the Securities Law. Specifically, it recommends that:

• Shareholders disclose all direct and indirect ownership stakes
• The Macedonian Securities and Exchange Commission (MSEC) be granted increased authority to impose stricter sanctions on non-compliant companies

Enhancing Corporate Governance and Shareholder Rights

To enhance corporate governance and shareholder rights, the report advises MSEC to develop a strategy outlining its plans for using its new powers. Additionally:

• The Macedonian Stock Exchange (MSE) should:
  • Complete its corporate governance code
  • Revise listing rules in line with the new Securities Law
  • Consider introducing a “corporate governance tier” system

Electronic Information Dissemination System

The MSE is further advised to fully implement an electronic information dissemination system, ensuring seamless access to vital company data.

Compliance Checklist for Corporate Governance Standards

As Macedonia seeks to boost investor confidence, this comprehensive compliance checklist serves as a benchmark for corporate governance standards in the country. The report’s recommendations aim to promote transparency and accountability, ultimately benefiting investors and the Macedonian economy as a whole.