“Pakistan adopts new corporate governance rules” – Manifest – November 24, 2017

On November 24, 2017 Manifest reported that Pakistan has a new Companies Act 2017 and new corporate governance regulations approved by the Securities and Exchange Commission of Pakistan (SECP) will come into effect in Pakistan on January 1, 2018.

“The regulations replace Pakistan’s 2012 corporate governance code. Changes in the requirements include decreasing the limit of permissible directorship in listed companies of a director from seven to five. The regulations also aim to strengthen the presence and role of independent directors and company boards will be mandated to have at least two or one-third of the number of directors, whichever is higher, as independent directors.

Additionally, independent directors shall be required to file a declaration confirming that statutory criteria for independence has been duly complied. The regulations will also boost the number of female directors on boards with the requirement that one female director is appointed within one year of notification of regulations or reconstitution of board whichever is later. Additionally, the SECP said that in order to encourage the inclusion of competent female directorship, companies are required to train at least one female executive under the directors’ training programme.”

You may read the article on the Manifest internet site.