The Privatisation and Corporatisation Board (PCB) has issued a new policy governing the appointment of company secretaries in state-owned enterprises (SOEs), introducing a uniform framework to define responsibilities and formalise procedures.
According to PCB, the policy was designed to ensure that company secretaries are suitably qualified, that the role is standardised across all SOEs, and that it is given the recognition and importance it merits. It also seeks to improve transparency in the appointment and functioning of company secretaries while enhancing their contribution to the management of SOE boards.
The framework requires each SOE to create a dedicated company secretary position, with specific educational and professional experience requirements. Secretaries will be appointed by the respective boards of directors in line with the Companies Act, the Articles of Association, and the Memorandum of Association of the enterprise.
In addition, newly appointed secretaries will need to complete the Company Secretary Training Programme conducted by the Capital Market Development Authority within six months of assuming the role. Boards of directors will also be mandated to carry out performance appraisals of company secretaries at least once a year, based on appraisal policies set by the board.
The policy sets out a wide range of responsibilities for company secretaries, including ensuring compliance with directives issued by PCB and other regulators, advising board members on regulatory matters, and supporting oversight agencies in monitoring company operations.
PCB stated that the framework is intended to strengthen the role of company secretaries and contribute to better governance across state-owned enterprises.
