It is precisely for these reasons, we have decided that some of the recommendations of the IW G need wider stakeholder consultation, deeper examination from various angles, including legalities, and may also require engagement with various other agencies and regulators. Let me now discuss on the important issue in current milieu – corporate governance. Importance of Governance in Financial Institutions 12.
Such a “non-aggression pact” between potential offenders tends to lift the burden of responsibility from countries and creates a form of moral hazard, which encourages indiscipline.