National Foundation for Corporate Governance (NFCG)

With the objective of fostering a culture of good governance, the National Foundation for Corporate Governance (NFCG) has accredited forty Seven premier Indian Institutions/Organizations as National Centers for Corporate Governance. These centers conduct seminars, workshops conferences, directors’ orientation programmes etc. for promoting good corporate governance practices and also carry out research work in this field. More than 250 events have been organized and 30 research works completed under the aegis of NFCG, besides publication of compendium on corporate sector and inclusive growth. The research report of the foundation, which include subject such as the role of independent directors, CSR, corporate governance in energy sector, reforms in banking sector etc. have also been hosted on its website for the benefit of the Stakeholders.

The objectives of the National Foundation for Corporate Governance (NFCG) set up in 2003, as per the trust deed, are given as under.

(a)    To provide a platform to deliberate issues relating to good corporate governance as the key to sustainable wealth creation;

(b)   To sensitize corporate leaders on the importance of good corporate governance, self- regulation and directorial responsibilities- statutory, social and environmental;

(c)    To stimulate and to facilitate exchange of experiences and ideas between corporate leaders, policy makers, regulators, law enforcing agencies, non-government organizations and voluntary agencies with a view to developing a framework for corporate governance reforms in the context of liberalization and globalization;

(d)   To provide research, training, practice, building, standard setting, advocacy, rating, monitoring, recognition and related support in the field of corporate governance;

(e)    To provide financial or any other assistance directly or indirectly for activities which seek to promote corporate governance including research and training;

(f)    To develop strategies that enhance value for all stakeholders and ensure long term benefits to the shareholders and the society at large;

(g)   To establish and deepen links with organizations in various parts of the world which promote corporate governance for exchange of ideas and for collaborative actions, projects and programmes;

(h)   To institute national awards and recognitions for excellence in corporate governance and develop a system of corporate governance rating;

(i)     To collaborate and to support, directly or indirectly, the initiative of any individual, group, organization or institution in promoting corporate governance;

(j)     To develop a code of best practices for corporate governance taking into consideration the international examples and to promote its voluntary adoption by the corporate bodies;

(k)   To prepare, print and publish any papers, periodicals or newspapers, books or leaflets either on its own or in collaboration with other persons/ entities through print or other media and to contribute to any papers or periodicals to disseminate information and knowledge in the area of corporate governance;

(l)     To facilitate, promote, commend and collaborate on the proposals from individuals, associations and organizations for funding by national, international and multi- lateral organizations as also industry- associations, regulators and governments;

(m) To provide advice, consultancy and technical and managerial support to the beneficiaries of the Trust’s programmes through a network of advisors drawn from the industry and institutions of excellence; and

(n) Other related objects.

This was stated by Shri Arjun Ram Meghwal, Minister of State for Corporate Affairs in written reply to a question in Lok Sabha.