Superintendency of Banks of the Dominican Republic issues corporate governance best practices report for boards and senior management

The Superintendency of Banks of the Dominican Republic published a best practices report setting out recommendations to strengthen corporate governance at financial intermediation entities, as part of its efforts to reinforce supervisory practices in line with the Basel Core Principles. The report draws on a review of nine financial entities focused on key sector trends and examines, among other areas, processes and criteria for selecting board members and senior management, appointment and remuneration practices, performance evaluation, criteria used to classify independent members, and academic background and training, identifying opportunities for improvement. It also consolidates governance guidelines intended to align firms with international orientations, including those of the Basel Committee on Banking Supervision, the Organisation for Economic Co-operation and Development, the United States Office of the Comptroller of the Currency, and the International Finance Corporation. The assessment followed an internationally used process combining a governance practices survey with on-site visits conducted as part of a thematic inspection to validate responses and obtain clarifications. The Superintendency indicated it will continue work on governance and provide further guidance, with the review contributing to the consolidation of its risk-based supervision approach.