New Delhi: Finance Minister Nirmala Sitharaman on Monday said the advice given by corporate secretaries to businesses was going to make a lot of difference as only “well-managed” companies that follow good management practices attract investors.
Indian companies have done exceptionally well last year in attracting investments because of their transparency and excellent compliance.
Over the past few years, compliance-related issues have become a major cause of failure for investors, well-managed companies, companies that are transparent in its operations, and companies that meet expectations. Good management policies, board driven policies attract not only big ticket investors but also small retail investors a lot of investors.
“So, for a company to thrive and expand in its area of operation, to facilitate the role of the company secretary and to prepare the company to follow the guiding principles that you can advise them, a lot of difference is going to be made,” Ms Sitharaman said.
He was addressing an event to mark the 53rd founding anniversary of the Institutional Secretaries of India (ICSI).
He said the workload of a company secretary was expanding at a time when the government was trying to remove and amend old laws to reduce penalties in corporate law.
Between 2020 and today, you see a lot of retail investors in India showing interest in the stock market … Money flows from retail and big ticket investors to well-managed companies …
“… a lot of investors, retail investors going to the market, companies taking a lot of funds from abroad is all possible because you (corporate secretaries) are in it and doing a good job of instructing companies to follow the best practices,” the minister said.
Ms Sitharaman said that it was the secretaries of the companies who had shown their strength in front of potential investors over the past two years, adding that it would now be an interesting phase for all those involved in the industry with new challenges. Technical form.
(This story was not edited by NDTV staff and was automatically created from Syndicate Feed.)