Cap. 10:31 Punuc El'<'lTnES CoRPoRATE GovERNANCE No. 4/2018 3. The enabling instruments under which public entities operate should allow streamlined operational practices. They should allow creditors to press their claims and to initiate insolvency procedures. 4. Any obligations and responsibilities that a public entity is required to undertake in terms of public services beyond the generally accepted norm should be clearly mandated by law. Such obligations and responsibilities should also be disclosed to the general public and related costs should be covered in a transparent manner. 5. Public entities should not be exempt from the application of the general law. Stakeholders, including competitors, should have access to efficient redress and an even-handed ruling •.vhen they consider that their rights have been violated. 6. Public entities should have sufficient flexibility for adjustments in their capital structure when this is necessary for achieving their objectives. 7. Public entities should face competitive conditions regarding access to finance. Their relations with State-owned banks, State-owned financial institutions and other public entities should be based on purely cormnercial grounds. 8. The responsible .t\1inister should develop and issue a policy that defines the overall objectives of the State's role in the corporate governance of the public entities for which he or she is responsible, and defines how the State will implement these objectives. 9. In compliance with section51A ("Separation of roles of appropriate Ministries and public entities') of the Public Finance Management Act [Chapter 22:19], the Government must(a) not be involved in the day-to-day management of public entities and should allow them full operational autonomy to achieve their defined objectives; (b) let boards of public entities exercise their responsibilities and should respect their independence. 10. The Government as an active owner of its public entities should exercise its ownership rights according to the legal structure of each entity. Its prime responsibilities include(a) in relation to public entities that are companies(i) being represented at shareholders' meetings and exercising its votes; and (ii) establishing well-structured and transparent nomination processes for the election of board members, and actively participating in those processes; (b) in relation to all public entities(i) setting up reporting systems allowing regular monitoring and assessment of the performance of public entities; and (ii) when petmitted by the Government's level of mvnership, liaising continuously with extemal auditors and other institutions of control; and (iii) ensuring that the remunemtion of board members foster the long-tetm interests of the public entities and can attract and motivate qualified professionals. PART II EQUITABLE TREATMTh'T OF MINORITY SHAREHOLDERS 12. In this Part"minority shareholder" means a person or party, other than the Govemment, that has an interest in a public entity, whether as a shareholder, a partner or othenvise. 161