Overview of corporate governance in Ethiopia: The role, composition and remuneration of boards of directors in share companies

摘要: Good corporate governance is an important pillar of the market economy and it enhances investor confidence. A strong balanced board directors necessary as a supervising body for executive management company with dispersed ownership. The Ethiopian law does not have adequate legislative provisions on issues related to separation supervision responsibilities, composition, independence remuneration in share companies. Besides, draft Commercial Code has yet been finalized. This article critically examines Ethiopia’s specific reference powers, composition light internationally recognized best practices principles governance. It argues that there need distinguish between law, should be suitably composed non-executive truly independent members who professionally competent. Furthermore, directors’ incentive-oriented based individual performance, subject caveat against excessive amounts go beyond achievement this purpose.