NSE and CBi launch Nigeria’s Corporate Governance Rating System (CGRS)

[caption id="attachment_518" align="alignnone" width="600"] A speaker at the launch of the corporate governance rating system by the Convention on Business Integrity and the Nigerian Stock Exchange on November 3 at Intercontinental Hotel, Lagos.[/caption] In a well-attended event with over 500 people, the Convention on Business Integrity and the Nigerian Stock Exchange launched the corporate governance rating system. (CGRS) on November 3 at Intercontinental Hotel, Lagos. At the event, CGRS, Nigeria’s flagship rating system was introduced to various market players including domestic and inte...
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Articles & Publications

Corporate Governance Rating System
Esusu, Adashe, & Ajo: Lessons for Corporate Nigeria? By Soji Apampa Are Nigerian Boards Performing? By Soji Apampa Using Carrots and Sticks in the Fight Against Corruption, By Soji Apampa Corporate Governance in Nigeria is evolving Are our Corporate Governance Standards High Enough? Is there a Right Corporate Governance Framework for Nigeria? Can the CGRS Rouse the 'Giant of Africa'? - Ethical Boardroom Article
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BETTER FOR BUSINESS

Corporate Governance Rating System
Rationale for the CGRS Research has consistently confirmed that businesses with better governance practices, on average perform better than their peers on other business measures. For example; A study by Korean and US researchers finds that a well-governed firm in Korea traded at a premium of 160 percent to poorly governed firm. An ABN/AMRO study demonstrates that Brazil-based firms with the best corporate governance ratings garnered 2004 P/E ratios that were 20% higher than firms with the worst governance ratings. A study of Russian firms shows that a worst-to-best improvement in cor...
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Soji Apampa

Soji Apampa
Nigeria needs a response that corrects for the inadequacies of self-regulation by companies, inadequacies of government regulation, and inadequacies of stakeholder activism whilst strengthening the overall system at the same time.
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Sanusi Lamido Sanusi

Sanusi Lamido Sanusi
Governance malpractice within banks, unchecked at consolidation, became a way of life in large parts of the sector, enriching a few at the expense of many depositors and investors. Corporate governance in many banks failed because boards ignored these practices …
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Rating process methodology

Corporate Governance Rating System
The CGRS score is a composite of a score for corporate compliance assessment (50%), a Fiduciary Awareness Certification Testing (FACT) of directors (10%) and Corporate Integrity based on feedback from stratified, random sample of stakeholders (20%) and an Expert Multi-Stakeholder Group (EMSG – 20%).   Corporate Compliance The Corporate Compliance uses self- assessment by companies to assess their compliance to corporate governance codes, regulatory rules and anti-corruption programs. Companies need to score 35% or more of total score to move on to the next level. Fiduciary Aware...
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Key Characteristics

Corporate Governance Rating System
Outstanding characteristics of CGRS are: CGRS covers corporate governance with detailed focus on anti-corruption CGRS includes a unique engagement component (Fiduciary Awareness Certification Test based on training) CGRS combines self-assessment with multi-stakeholder assessment and therefore looks far beyond publicly available information CGRS is mandatory for all listed companies after the pilot phase CGRS’s envisioned degree of transparency goes for beyond current practice of other CG indices   CGRS Positioning with Other CG & ESG Ratings A positioning / comparison...
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