The Privatization and Corporatization Board of the Government of Maldives has announced amendments to Chapter 7 of the Code of Corporate Governance for State-Owned Enterprises (CG Code) within the ESG Reporting Framework. These amendments were approved during the board meeting No. 7/2024 held on January 18, 2024.
The revised regulations, outlined in a circular released on Sunday, introduce several key changes aimed at bolstering sustainability reporting and accountability among companies operating within the Maldives. They are:
1. Mandatory Sustainability Reporting: Companies are now required to prepare and make publicly accessible their sustainability reports by May 31 of each year. Additionally, a copy of the report must be shared with the Board.
2. Comprehensive Reporting Standards: All companies are mandated to include all components as described by the framework in their Sustainability Report. Should any component be omitted, the report must provide a valid reason for its exclusion. These reporting standards are set to be enforced from the year 2025 onwards.
3. Flexibility in Reporting Format: While an integrated sustainability report is encouraged, companies now have the option to file a separate report, tailored to an outline of their choice.
Effective from the year 2024 onwards, all companies operating within the Maldives are expected to adhere to these revised regulations. Failure to comply with the new reporting requirements may result in penalties or regulatory action.
