Strong Corporate Governance Is Key To Attracting Foreign Investment Toward Emerging Markets – Entrepreneur

Strong Corporate Governance Is Key To Attracting Foreign Investment Toward Emerging Markets – Entrepreneur

As the global economy continues to evolve, strong corporate governance is vital to attracting foreign investment toward emerging markets, and particularly, entrepreneurs and startup companies in the Middle East and North Africa region. While emerging markets are expected to grow at a rate of 4.2% in 2024, the lack of strong corporate governance remains a significant obstacle for foreign investors.

The UAE, especially, has made strides in recent years, particularly with its investment in telecommunications, transportation, logistics, and hospitality, but the demand from investors for responsible governance has also increased. Unfortunately, not all countries in the region are at the same level as the UAE. Countries such as Saudi Arabia, Egypt, and Morocco have significantly improved the protection of minority investors, a key component of corporate governance.