The OECD Guidelines on Corporate Governance of State-Owned Enterprises (the Guidelines) are the leading international standard for policymakers to design effective ownership and corporate governance frameworks for SOEs. Complementary to the G20/OECD Principles of Corporate Governance, they aim to address the unique challenges and opportunities faced by state ownership in view of fostering transparency, accountability, integrity and efficiency within the state-owned sector. They have become a cornerstone for countries in reforming their institutional, legal, and regulatory frameworks to boost competition, professionalise ownership practices, and enhance SOE performance.
The 2024 revision of the Guidelines builds on nearly two decades of implementation experience, and will enhance their ambition and relevance by reflecting the latest OECD standards and best practices. With the growing role of SOEs in the marketplace, the revised Guidelines aim to further ensure competition on a level playing field between SOEs and private enterprises. To ensure sound SOE governance, the revised Guidelines emphasise the need for the state to act as an active, informed and professional owner. This includes clearly defining the rationales and expectations for SOEs, especially with regard to their public policy objectives. The revised Guidelines also call for boards to have the necessary competencies, integrity and objectivity to carry out their functions; and for high standards of transparency, disclosure and accountability towards shareholders and stakeholders to be observed.
The revision recognises the role that SOEs and their owners can play in leading by example on sustainability. This includes, for SOE owners, integrating sustainability considerations into ownership policies, and for SOEs, setting ambitious and concrete sustainability goals, while using risk management and responsible business conduct to ensure resilience and long-term value creation.
The Guidelines will remain a valuable tool for governments to promote transparent, accountable and sustainable governance practices within the state-owned sector. The OECD will continue to work with all countries and partners to promote the implementation of the Guidelines globally.
Mathias Cormann,
OECD Secretary-General