This event marked the culmination of a three-year effort by CLDP, the Center for International Private Enterprise (CIPE) and the National Committee on Corporate Governance to develop a corporate governance code, under the auspices of the Bahrain Ministry of Industry and Commerce and the Central Bank of Bahrain. The purpose of the corporate governance code is to attract foreign investment and improve the Kingdom's access to capital and financial markets by increasing investor confidence and entrenching transparent, sustainable corporate practices.

CLDP worked closely with public and private sector stakeholders in Bahrain to develop a framework for corporate governance, and most notably assisted in drafting the substantive language used in the corporate governance code. The 30-page code, based upon the Organization for Economic Cooperation and Development (OECD) corporate governance principles, consists of "best practice" rules for the internal management of companies to ensure that investor interests are protected. Corporate governance principles define the relationship between the board of directors, managers and shareholders to ensure transparency, accountability, fairness and responsibility. These principles are important to both large and small companies to enhance efficiency, minimize conflict, and encourage growth.

The release of the corporate governance code is a significant success for CLDP's efforts in the Arabian Peninsula, as it signifies a measurable step towards improving the business climate in Bahrain and the region. Over the coming year, CLDP will help implement the corporate governance code by developing capacity building programs that educate stakeholders about the new code and the benefits of applying it. The example set by Bahrain has the potential to serve as impetus for similar developments throughout the region. As Bahrain strives to become an increasingly important part of the global economy, the corporate governance code is a compelling example of how the CLDP partnership with Bahrain can enhance economic prosperity in the Middle East.