The Corporate Governance Regulations issued by the Capital Market Authority (CMA) of Saudi Arabia establish a framework for corporate governance practices within companies. These regulations aim to protect shareholder rights, define the responsibilities and competencies of the board of directors, and address conflicts of interest to ensure transparency and accountability.
Key requirements
- Fair treatment of all shareholders, including equal rights related to shares and access to information.
- Establishment of a competent and responsible board of directors with clearly defined roles, responsibilities, and duties.
- Implementation of policies and procedures to identify, manage, and disclose conflicts of interest.
- Mandatory training and assessment programs for board members to enhance their knowledge and skills.
Applies to: Companies listed on the Saudi Stock Exchange (Tadawul) and other entities subject to CMA oversight in Saudi Arabia.