Corporate governance reform recommended

The Institute of International Finance (IIF) issued a report on corporate governance in China, recommending a series of initiatives to improve transparency and increase foreign investment. The IIF recommended that China reduce state ownership in listed companies, enhance the authority of domestic stock exchanges � especially in the area of shareholder rights, and develop an institutional investor base. The report also suggested that China codify punishment for insider trading and financial fraud. The IIF is made up of more than 300 banks from around the world.