CORPORATE GOVERNANCE IN THE BRAZILIAN BANKING SECTOR: A STUDY OF PRACTICES ADOPTED BY THE BOARDS

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Marcelle Colares Oliveira, Lindenberg Araújo Aragão, Vera Maria Rodrigues Ponte

DOI:10.22495/cocv8si1p4

Abstract

This study is an analysis of the best practices of corporate governance adopted by the boards of Brazilian banking institutions. The findings show that most banks adhere to the latest Brazilian Institute of Corporate Governance guidelines with regard to board size and to the standards required by BM&FBovespa in terms of independence. The banks studied are rigorous with regard to audits and control in the process of corporate governance and most have a diversified board with the positions of chief executive officer and chairman occupied by different individuals. Practices regarding disclosure of board member remuneration are still at an early stage of development with banks restricting disclosure to what is required by law.

Keywords: Corporate Governance in Emerging Economies, Sustainable Development in Emerging Countries

How to cite this paper: Oliveira, M. C., Aragão, L. A., & Ponte, V. M. R. (2011). Corporate governance in the Brazilian banking sector: A study of practices adopted by the boards [Special issue]. Corporate Ownership & Control, 8(2-1), 37-46. http://dx.doi.org/10.22495/cocv8si1p4