"Good corporate governance, it's about being proper and prosper." Author: Toba Beta
Corporate Governance refers to the way a corporation is governed. It is the technique by which companies are directed and managed. It means carrying the business as per the stakeholders’ desires. It is actually conducted by the board of Directors and the concerned committees for the company’s stakeholder’s benefit. It is all about balancing individual and societal goals, as well as, economic and social goals.
Constituents of CG :
The three key constituents of corporate governance are the Board of Directors, the Shareholders and the Management. The pivotal role in any system of corporate governance is performed by the board of directors. It is accountable to the stakeholders and directs and controls the management.
CG at Hayat Invest :
Hayat’s Board of directors believes that ensuring effective corporate governance is a continuous process and a critical factor in achieving business success. In 2015, the company continued to improve on its policies and procedures with a special focus on ensuring compliance with the requirements of the Capital Markets Authority (CMA).
Committees and Bodies :
In order to ensure effective minimum standards of corporate governance for companies in Kuwait, CMA Kuwait has issued Corporate Governance Rules which are required to be fully implemented by June 30th, 2016. The Rules require corporates to implement significant structural and operational changes such as the appointment of qualified independent directors and the formation of certain board sub-committees including the Risk Committee. In addition, new policies and procedures are to be developed to ensure fair dealing with all stakeholders. Audit Committee, and Nomination & Remuneration Committee.
Please refer our latest Annual Report for further details.