With respect to enterprises, the Asian financial crisis of 1997-98 revealed that many boards of directors of enterprises that borrowed considerable sums from foreign investors were not fulfilling their proper roles as stewards of shareholders’ and lenders’ investments. As a result, reforms in corporate governance followed, led by the OECD.

Also in the wake of the Asian financial crisis, the IMF and World Bank initiated a financial sector assessment program that included assessing compliance with codes of good practices in areas such as bank supervision, securities market supervision, secured credit, insolvency, accounting and other areas. The model laws I developed are generally consistent with best practices recommended by the international standards and codes.

The model laws and related recommendations listed below are proceeded by an introduction and for some a summary and commentary on a law followed by the text of the law or other recommendation.