17:36 - 26.09.2024

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September 26, Fineko/abc.az. The Board of the Central Bank of Azerbaijan (CBA) has made changes to the Standards of Corporate Governance in Banks.

ABC.AZ reports that the decision on the occasion was signed by CBA chairman Taleh Kazimov.

According to the changes, now not only in private banks, but also in banks whose controlling stake belongs to the state, at least one third of the members of the Supervisory Board must be independent. For example, if the number of members of the National Bank is 5, then two of them should be independent. If the Supervisory Board consists of 7 people, then three of them should be independent members.

In addition, a candidate for the position of an independent member should not be an employee of the bank at the time of his appointment. If he previously worked at the bank, then this person will be able to become an independent member only after a certain break (cooling off), which must be at least two thirds (at least three years) of the time he worked at the bank.

In addition, the requirement was lifted that an independent member of the Board could not receive any income from the bank over the past three years, except for the established salary, bonuses and dividends (up to 2% on preferred shares that he owns).