MAS sets up corporate governance committee

It is led by Singtel director Bobby Chin.

The Monetary Authority of Singapore (MAS) has established a corporate governance advisory committee (CGAC) to advocate good corporate governance practices amongst companies, an announcement revealed.

Led by the Singapore Telecommunications’ (Singtel) director Bobby Chin, the industry-led body will identify current and potential risks to the quality of corporate governance, monitor international trends, revise the practice guidance to clarify the Code of Corporate Governance (CG Code) and recommend updates.

CGAC will play an important role in enhancing the city-state’s corporate governance standards and practices to help strengthen investor confidence and uphold Singapore’s reputation as a trusted international financial centre.

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“A culture of strong corporate governance is essential to support long-term corporate performance, Chin said in a statement. “The effectiveness of the CG Code will require sustained commitment in both substance and form by companies and stakeholders.”

The formation of the CGAS was a recommendation by the Corporate Governance Council which was set up to review the CG Code in 2018. CGAC comprises of members including board directors of listed entities and members from stakeholders groups such as institutional and retail investors, with diverse and extensive experience in corporate governance matters.

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The CGAC’s role is advisory in nature, and so will not carry out regulatory or enforcement powers, or provide opinion on ongoing cases and investigations, MAS highlighted. The Singapore Exchange Regulation (SGX RegCo), MAS, and the Accounting and Corporate Regulatory Authority will remain responsible for taking regulatory actions against corporate governance-related breaches.