Global Governance Standards Research Articles

The Geopolitics of Global Infrastructure Projects: Challenges and Opportunities for Health and Wellbeing

Abstract Global infrastructure projects have emerged as pivotal instruments in shaping economic growth and geopolitical dynamics in the contemporary world. Infrastructure, traditionally associated with physical structures like roads, bridges and utilities, now extends to include services vital for societal standards and economic progress. This evolution reflects a broader recognition of infrastructure’s role in fostering development, with distinctions drawn between physical infrastructure such as transport and energy networks, and services-oriented infrastructures encompassing health and education. Scholarly discourse on the correlation between infrastructure development and economic growth varies significantly. While some researchers assert a positive relationship, citing infrastructure’s stimulative effects on economies, others argue that this link is not universally conclusive, highlighting nuances in variables and methodologies used in studies. Nevertheless, the consensus underscores the critical role of infrastructure in enhancing economic activities, particularly in developing countries where the infrastructure gap remains stark. Central to contemporary infrastructure dynamics is China’s Belt and Road Initiative (BRI), a global development policy launched in 2013 aimed at enhancing connectivity and economic integration across Asia, Europe and beyond. The USA and its allies have also initiated the Partnership for Global Infrastructure and Investment (PGII), to promote sustainable infrastructure development aligned with Western values and global governance standards. As these global powers focus on infrastructure development, the implications for health and well-being emerge as critical considerations. Infrastructure projects not only promise economic benefits but also present opportunities to address public health challenges, enhance connectivity and promote sustainable development goals. However, they also pose challenges such as environmental impact, debt sustainability and geopolitical tensions, underscoring the complex interplay between infrastructure development, global governance and human welfare. This paper explores the multifaceted dimensions of global infrastructure projects, examining their implications for health and well-being amidst evolving geopolitical competition. By analyzing key initiatives like BRI and PGII, it aims to provide insights into how infrastructure investments can be leveraged to foster equitable socio-economic development while navigating the challenges posed by climate change, governance issues and geopolitical rivalries. Understanding these dynamics is crucial for harnessing the transformative potential of global infrastructure projects to promote health and well-being on a global scale.

Addressing the Deficit: An Analysis of Boardroom Diversity Gaps and Progress toward Global Governance Standards in Bahrain

Addressing the Deficit: An Analysis of Boardroom Diversity Gaps and Progress toward Global Governance Standards in Bahrain

Political CSR at the Coalface – The Roles and Contradictions of Multinational Corporations in Developing Workplace Dialogue

AbstractWhile political CSR scholarship has focused on the role of dialogue between MNCs and civil society actors at the transnational level in creating global governance standards, we seek to understand how political CSR might play out at the ‘coalface’ where labour rights violations occur. We draw on insights from Industrial Democracy to examine how political CSR may be extended to enable democratic processes at the workplace level. Studying the introduction of workplace dialogue in Bangladesh apparel factories, we highlight how MNCs leverage their position as lead actors in the supply chain in three ways: as guarantors, capacity‐builders and enforcers of workplace dialogue. Our findings also show that dialogue reveals dialectical tensions emerging from the structured antagonism of the supply chain relationship. Our contribution focuses on understanding how MNCs may enable deliberative spaces in their supply chain, but also how this is likely to change the nature of pCSR.

National societal values and corporate governance

PurposeThe purpose of this paper is to examine the association between national societal values and corporate governance in emerging markets.Design/methodology/approachThe sample is comprised of 511 firm-year observations representing firms from 22 emerging markets. The authors regress sample firms’ corporate governance ratings, reported by Credit Lyonnais Securities Asia (CLSA), on national societal value scores (Hofstede, 1980 variables for primary analysis and Schwartz, 1994 variables for sensitivity tests) and firm-level and country-level control variables.FindingsThe authors find that national societal values are associated with corporate governance in emerging markets. Corporate governance is strong in firms from individualistic societies, and weak in firms from uncertainty avoiding and masculine cultures.Research limitations/implicationsThe authors extend the stream of literature that has established the link between formal institutions and corporate governance. The authors also extend the literature that examines how societal values influence corporate practices in emerging markets.Practical implicationsThe results suggest that informal institutions, in addition to formal ones, shape corporate governance in emerging markets. Corporate stakeholders need to be aware of the different societal values of each market and develop specific strategic plans that best suit both formal and informal institutions.Originality/valueThe findings suggest that national societal values need to be considered in cross-country research on corporate governance. The results should also be of interest to policy makers advocating for or against global governance standards.

Airing Dirty Laundry: Reforming the Anti-Money Laundering and Anti-Terrorism Financing Regime in Malaysia

Abstract Dealing with money laundering has been one of the toughest struggles nations around the world, including Malaysia, have had to face. Prevalent international concerns over such crime have led to the establishment of international policies and standards by the Financial Action Task Force (FATF), which aimed at preventing and ultimately criminalising such crime within the national boundary. In accordance with such policies, Malaysia has introduced the Anti-Money Laundering Act in 2001 (AMLA) as a legal modality in governing such crime. It has been amended and renamed the AMLATFA in 2003 to include terrorism financing. Again, recently in late 2013, AMLATFA has been amended to keep up with changing standards and times. Within this legal landscape, this paper will highlight the instrumental and normative problems surrounding the said legislation. The authors contend that despite the adherence to global governance standards, legal deficiencies in the AML/ATF law in Malaysia remained, which merits urgent attention and action from the relevant authorities. This paper employs a doctrinal legal research and secondary data of which the AMLATFA is the primary source. The secondary sources for this article include decided cases, articles in academic journals, books and online databases.

Solving the Mystery of African Governance

The dominant view of good governance as a pre-condition for economic success is theoretically compelling but empirically difficult to establish. Historical analyses tend to indicate a very strong correlation between institutional development and economic growth. Today’s high-income and good-governance countries generally had bad-governance environments at low levels of income. Moreover, some of today’s most successful economies still exhibit sub-optimal governance indicators. By focusing on the search for the determinants of some global governance standards that often reflect particular political, ideological and philosophical conceptions of power, the traditional literature on governance has so far failed to offer a set of actionable policies that poor countries could implement to foster inclusive growth in a pragmatic and incentives-compatible way. This article acknowledges that governance problems are indeed major impediments to economic growth. But contrary to conventional wisdom, it argues that the well-known governance problems in African countries are mainly the reflection of their low level of development, and the results of failed state interventions and distortions originating from erroneous economic development strategies. Instead of posing ‘good’ governance as the main prescription and a prerequisite for sustained growth, development economists should design policy frameworks that offer the maximum likelihood of success because they are consistent with comparative advantage while providing minimum opportunities for rent-seeking and state capture.

A cross-national analysis of perceptions of corporate governance principles

Increased trade between developed and emerging economies has led to a gradual convergence of policies related to corporate governance as multinational firms attempt to standardize best practices worldwide. Due in part to this movement organizations such as the OECD and World Bank have contributed to the streamlining of acceptable protocol for publicly traded firms around the globe. In 1999 the OECD Principles of Corporate Governance were endorsed by OECD ministers in an attempt to influence policymakers by setting global governance standards. Yet the extent to which perceptions of these principles vary between OECD members and non-members is unclear. Obtaining a greater understanding of how individuals from diverse nations perceive these principles is important to managers as they maneuver through the complex world of international business. In this study we employ relational demography theory to develop and test a survey instrument in the Kingdom of Saudi Arabia and in the United States to assess perceptions of OECD principles. Results from a survey of 284 managers (Saudi Arabia n=168, USA n=116) suggest that regardless of culture perceptions of shareholder rights are positively related to beliefs about the integrity of the national legal and regulatory framework. Also, differences between the Saudi and U.S. samples on perceptions of shareholder participation, disclosure and the role of the audit function are identified. Managerial implications and future research directions are also discussed.

An Analysis of Perceptions of Western Corporate Governance Principles in Saudi Arabia

Managers working for multinational firms must evaluate the extent to which they should adapt corporate governance mechanisms to local markets or to pursue a one-size-fits-all approach. In 1999, the OECD Principles of Corporate Governance were endorsed by OECD ministers in an attempt to influence policymakers worldwide by setting global governance standards. Yet the level of approval and understanding of these principles in non-OECD nations is still unclear. In this study we develop and test a survey instrument in the Kingdom of Saudi Arabia to assess perceptions of OECD principles by 168 Saudi Arabian managers. Results suggest that Saudi Arabian perceptions of shareholder rights are positively related to a) maintaining an effective corporate governance framework and b) the effective monitoring of management by the board of directors. Managerial implications and future research directions are also discussed.