| dc.description.abstract | Fostering investor trust, accountability, and transparency all depend on effective
corporate governance. The Companies Act No. 07 of 2007 and the Code of Best Practice, which
serve as the foundation of Sri Lanka's existing framework, expose serious flaws in board
independence, integrated reporting, and regulatory enforcement, endangering the country's
capacity to practice effective governance and maintain economic stability. Conversely, the
governance framework of South Africa, as delineated by the Companies Act 71 of 2008 and the
King IV Report, epitomizes optimal methodologies through its obligatory independence of the
board, all-encompassing integrated reporting, and resilient enforcement measures. According to
this analysis, implementing South Africa's norms could help with Sri Lanka's governance
problems. A majority of independent directors should be required, financial and non-financial
reporting should be integrated, ethical standards should be strengthened, mandatory CSR
initiatives should be put in place, and regulatory enforcement should be improved, among other
suggested changes. The study plays a crucial role in directing legislative and regulatory reforms
in Sri Lanka that seek to strengthen governance effectiveness and economic stability, which in
turn promotes sustainable growth and increases investor confidence. | en_US |
