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Compliance with Corporate Governance Guidelines and Regulations

Governance is an important part of the values and practices of the Saudi Stock Exchange (Tadawul), which implements the best corporate governance practices for managing unlisted shareholding companies represented in the Corporate Governance Guidelines for Unlisted Companies issued by the Ministry of Commerce and Investment. In addition, the Company works towards raising the level of transparency and corporate integrity by maintaining the best governance practices based on the following:

  1. The Companies’ Law
  2. Capital Market Law
  3. The Company’s Articles of Association

Our governance structure

The organizational structure including some of the Board committees is shown in the diagram below:

Disclosure concerning the composition of the Board of Directors and Senior Executives

The formation of the Board of Directors of the Saudi Stock Exchange Company (Tadawul) is based on the Capital Market Law promulgated by Royal Decree No. (M/30) dated 2/6/1424 H. As Clause (b) of Article 22 states: "The Company shall be managed by a Board of Directors consisting of nine members, who shall be appointed by a resolution of the Council of Ministers upon nomination by the Chairman of Capital Market Authority. Members shall choose from among themselves a Chairman and a Vice-Chairman. Membership shall be as follows:

  1. Representative of the Ministry of Finance.
  2. Representative of the Ministry of Commerce and Investment.
  3. Representative of the Saudi Arabian Monetary Authority.
  4. Four members representing the licensed brokerage companies.
  5. Two members representing the companies listed on the exchange.