“In 2016, IFC’s Corporate Governance Group launched an empirical study to explore the link between the quality of IFC portfolio clients’ corporate governance (CG) and their financial and economic performance over a four-to-five-year period. Using client surveys and portfolio financial, economic, and development outcome data, IFC tested the hypothesis that better corporate governance is associated with better performance over a defined period.The analysis of collected data showed that investing in companies with better CG at the time of disbursement of IFC’s investment is associated with a better average credit risk rating (CRR) by almost 1.50 points throughout the IFC investment period.