In a move which is first of its kind in the region, the Securities and Commodities Authority, SCA has organised a workshop via teleconferencing to augment its efforts to improve its electronic services.
Representatives from a number of public joint stock companies, PJSCs in addition to Dr. Obaid Al-Za abi, Deputy Chief Executive Officer for Legal Affairs and Issuance, Saif Al-Tunaiji, Director of Department of Issuance and Disclosure and Rami Al-Nassour, Financial Advisor at the SCA, participated in the workshop which discussed means of enhancing the performance of board of directors of these companies, focusing on the role of the board in light of corporate governance.
The lectures touched on the definition and principles of corporate governance, general features and skills which board members must have, the formation of board of directors and members independence, evaluation of the performance and efficiency of the board.
The presentation also highlighted rules of board committees which must be set up according to corporate governance rules, the bonuses of board members and the executives which must be tied up with the board s performance. It also highlighted the significance of having in place an internal control system in every PJSC.
The workshop also underscored the rights of shareholders, other concerned bodies and the significance of environmental responsibilities on companies, as the SCA has imposed on all listed firms subject to the SCA Decision No. 518 the implementation of environmental and social responsibilities, to contribute to social development, boost social responsibilities and protect the environment.
To abide by social responsibilities, companies must play a major role in local communities development, environmental protection, sponsoring of charity programs, to reflect their dedication and loyalty to the nation which has provided for them all the elements of successful operation, according to SCA.
Speakers at the workshop agreed that applying corporate governance is the safety belt of a company and the first defense line to prevent it from slipping into crisis, on the one hand and to help those in crisis out of trouble or minimize their loses, on the other, if there is sincere will to implement corporate governance.