Corporate Governance Practice Landscape in Ethiopia: Past, Present and Future

This research paper is carried out on Corporate Governance Practices Landscape in Ethiopia Past, Present and Future. The objective is to investigate the status of corporate governance practices of Ethiopian Share companies. since the corporations’ good governance practices is important for attracting the foreign capital flows through investment and it is helpful tool to ensure the promotion of the economic growth and transformation in business sectors. This research paper is focused mostly to give a reflection on corporate governance practices landscapes by taking into account different dimensions of corporate governance that affect the climate of doing healthy corporate business for the purpose article review were carried out; together with this interview and survey were developed by considering commercial codes of Ethiopia, other legislatives and international best practices to be carried out with chief executives officers of selected corporate sectors and government authorities’ and survey data were collected from different stakeholders. Based on Qualitative analysis carried out the findings on the landscapes of corporate governance practices indicated rising and falling in past two epochs and we were not in a position to talk about corporate governance practices in the country due to the fact that there was deep rooted problem of ownership that affects corporate governance practice too. And today's epoch there are a lot of changes on the corporate business dealings through privatization of stated owned firms and many share companies are formed through Initial Public Offerings even though changes are made on business dealings the corporate governance system is not effective due to lack of structured corporate governance framework, up to date regulatory framework, national codes and principles as to corporate governance, unavailability of qualified professionals, dearth of corporate governance policy framework all these limitations results problem of transparency and disclosure, distorted governance structure, lack of adequate protection of minorities rights, weak enforcements from the regulatory body at compliance with applicable laws, conflicts of interest etc. With respect to future landscape though it is emerging subject and at grass root level there are a number of good begging's on government authorities’, corporate sectors and different stakeholders they started making institutional framework changes, preparing draft corporate governance codes to incorporate current international best practices and to make awareness creation on the business community all these activities will foster this young and infant subject in the country to sustain and to make healthy the country's economic growth in share business.