Financial governance is considered one of the modern and important concepts in the management of institutions, whether public or private, due to its significant role in regulating relationships between management and stakeholders and ensuring the optimal use of financial resources. The importance of financial governance has become more evident in light of the financial and economic crises experienced worldwide, which revealed weaknesses in oversight and a lack of transparency in many institutions. Concept of Financial Governance Financial governance refers to a set of laws, regulations, and procedures that organize the management of financial resources within an institution and define mechanisms for decision-making, control, and accountability. It aims to achieve a balance between the interests of management, shareholders, and other stakeholders, ensuring fairness and integrity in financial dealings. Concept of Financial Transparency Financial transparency means clarity and accuracy in financial information and making it available in a timely manner to all concerned parties, so that it reflects the true financial position of the institution without manipulation or concealment. Transparency is a fundamental element in building trust between institutions, society, investors, and regulatory bodies. The Role of Financial Governance in Enhancing Transparency Financial governance plays a pivotal role in enhancing transparency through several aspects, including: 1. Defining responsibilities and authorities: It ensures clarity of roles between executive management and boards of directors, reducing conflicts of interest. 2. Strengthening internal control systems: Through effective oversight mechanisms that prevent financial corruption and detect errors at an early stage. 3. Regular financial disclosure: By requiring institutions to publish accurate financial reports that reflect their true performance. 4. Accountability and responsibility: Holding management accountable for financial decisions encourages adherence to integrity and transparency. 5. Building trust: Increased transparency resulting from sound governance enhances the confidence of investors and stakeholders. Importance of Financial Governance The importance of financial governance lies in its contribution to improving financial performance, reducing risks, preventing corruption, attracting investment, and achieving long-term financial sustainability. It also helps enhance the institution’s reputation at both local and international levels. Conclusion In conclusion, financial governance is a fundamental tool for achieving transparency and integrity within institutions. It is not merely an option but a necessity to ensure financial stability and sustainable development. Effective implementation of financial governance principles positively reflects on institutional performance and strengthens public trust